What constitutes 'good cause' for terminating a Bigfoot Forestry franchise agreement in Michigan?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.1. By Us. We may terminate this Agreement, effective upon delivery of a notice of termination, for any of the following reasons, all of which constitute material events of default and "good cause" for termination, and without opportunity to cure except for any cure period expressly set forth below:
- (a) if we terminate any Definitive Agreement due to a default committed by you or one of your Owners or affiliates; or
- (b) if you (or an Owner) breach any provision of this Agreement and fail to cure within 30 days after receipt of a default notice.
Source: Item 23 — RECEIPT (FDD pages 42–162)
What This Means (2025 FDD)
According to the 2025 Bigfoot Forestry Franchise Disclosure Document, the grounds for termination of a Development Agreement, which constitute 'good cause,' are outlined in Section 8.1. These include instances where Bigfoot Forestry terminates any Definitive Agreement due to a default by the franchisee, their owners, or affiliates. Additionally, a breach of any provision within the Development Agreement by the franchisee or an owner, which remains uncured for more than 30 days after receiving a default notice, also constitutes grounds for termination.
It is important to note that this information pertains specifically to the termination of a Development Agreement, which grants rights to develop multiple Bigfoot Forestry franchises. The FDD excerpt does not detail what constitutes 'good cause' for terminating an individual Franchise Agreement in Michigan.
To fully understand the conditions under which a Bigfoot Forestry franchise can be terminated for 'good cause' in Michigan, a prospective franchisee should carefully review the state-specific addendum (Exhibit H-1) mentioned in the FDD, as well as the Initial Franchise Agreement. It would be prudent to consult with a legal professional experienced in franchise law to fully understand their rights and obligations regarding termination.