If Big Blue Swim School delays the development or opening of a Big Blue Swim School, for how long can they delay it?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
rights under this DRA.
After you and your owners (or your Approved Affiliate and its owners) sign the franchise agreement (and related documents) and SaaS Agreement for a BIG BLUE Swim School, their terms and conditions will control the construction, development, and operation of the BIG BLUE Swim School (except that the required opening deadline is governed exclusively by the Schedule in this DRA, except as expressly provided in Section 2(d) above).
- (f) In addition to our rights with respect to proposed BIG BLUE Swim School sites, we have the right to delay the construction, development, and/or opening of additional BIG BLUE Swim Schools within the Territory for the time period we deem best if at any time we believe that such delay is in the best interests of the brand or the franchise network, including for reasons related to lack of sites that meet our criteria, supply chain issues, or our assessment in our sole judgment that you (or your Approved Affiliate) are not yet operationally, managerially, or otherwise prepared (no matter the reason) for the construction, developme
Source: Item 23 — RECEIPTS (FDD pages 76–278)
What This Means (2025 FDD)
According to the 2025 Big Blue Swim School Franchise Disclosure Document, Big Blue Swim School has the right to delay the construction, development, and/or opening of additional swim schools within the territory for the time period they deem best. This decision is made if Big Blue Swim School believes the delay is in the best interests of the brand or the franchise network. Reasons for delay can include a lack of suitable sites, supply chain issues, or Big Blue Swim School's assessment that the franchisee is not yet prepared operationally or managerially.
Big Blue Swim School can delay additional development and/or a swim school’s opening for the time period they deem best, provided the delay will not cause the franchisee to breach their development obligations under the Schedule. An exception exists if Big Blue Swim School is willing to extend the Schedule proportionately to account for the delay. This clause protects Big Blue Swim School, allowing them flexibility in managing the growth and quality of their franchise network, but it also places some risk on the franchisee, who may face delays beyond their control.
This provision is relatively common in franchising, as franchisors often need to manage the pace of expansion to maintain brand standards and market saturation. However, prospective Big Blue Swim School franchisees should carefully consider the potential impact of such delays on their investment and business plans. It would be prudent to discuss with Big Blue Swim School under what specific conditions they would enact such a delay, and what recourse a franchisee has if a delay causes financial harm.