Where can I find a summary of the provisions related to renewal or extension of the Body20 franchise agreement?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
L, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION**
THE FRANCHISE RELATIONSHIP
The table below lists certain important provisions of the Franchise Agreement. You should read these provisions in the form of Franchise Agreement attached to this Disclosure Document as Exhibit A.
| Provision | Section in Franchise Agreement | Summary | |
|---|---|---|---|
| a. | Length of the franchise term | Sections 2.1 and 2.3 | Begins on the effective date of your Franchise Agreement and continues for 10 years from the date you open your Studio for business. If you continue operating after expiration, we may treat the term as extended on a month-to month basis until either we or you deliver notice ending that extension, in which case that interim period will terminate 30 days after the other party's receipt of the notice to terminate the interim period. |
| b. | Renewal or extension of the term | Section 2.2 | If you meet the conditions, you may obtain two additional consecutive successor terms of five years each. |
| c. | Requirements for franchisee to renew or extend | Section 2.2 | You have notified us of your intent to renew at least six months in advance but no more than 12 months in advance; you and your Owners (as applicable) have signed and returned to us the successor franchise agreement, owner's guaranty, and ancillary agreements (modified as we consider necessary to reflect changes that we consider appropriate for the successor term), which may have materially different terms and conditions than your original Franchise Agreement; you have refurbished or renovated the Studio to our then-current specifications; you and your Owners have executed a general release in favor of us and our affiliates; you have completed, and have had your Operating Principal and Designated Manager complete, our then-current training requirements; you have secured from your landlord the right to continue operating at the Site for the remainder of the successor term; |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 56–64)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, Item 17 provides a summary of provisions related to the renewal or extension of the franchise agreement. Specifically, section b in the provided table outlines the conditions for renewal or extension of the term, referencing Section 2.2 of the franchise agreement.
To renew the Body20 franchise, a franchisee must meet several conditions. These include notifying Body20 of the intent to renew at least six months, but no more than 12 months, in advance. Franchisees must also sign and return the successor franchise agreement, owner's guaranty, and ancillary agreements, which may have materially different terms than the original agreement. The studio must be refurbished to Body20's current specifications, and a general release must be executed in favor of Body20 and its affiliates.
Further requirements include completing Body20's then-current training, securing the right to continue operating at the site, full compliance with the Franchise Agreement and all related agreements, and payment of the Successor Fee. Failure to meet these requirements could result in the franchisee not being able to renew their Body20 franchise agreement. If all conditions are met, a franchisee may obtain two additional consecutive successor terms of five years each.