Is there an automatic renewal for a Body20 franchise after the initial 10-year term?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
| 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; you, your Owners, and your affiliates (the ("Franchisee Parties") have fully complied with the Franchise Agreement and all other agreements between any Franchisee Party and us, our affiliates, and/or our approved vendors related to the Studio or any other Studios (each, a "Related Agreement"); at the time you provide notice of your intent to enter into a successor term and at the expiration of the then-current term of the Franchise Agreement, the Franchisee Parties are in full compliance with all Related Agreements; and you have paid us the Successor Fee. |
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, the initial franchise term is 10 years from the date the studio opens. The agreement does not automatically renew. However, a franchisee may be eligible for two additional consecutive successor terms, each lasting five years, provided certain conditions are met. If a franchisee continues to operate after the expiration of the initial term without a formal renewal, Body20 may treat the term as extended on a month-to-month basis. This interim period can be terminated by either party with 30 days' notice.
To qualify for renewal, the Body20 franchisee must notify Body20 of their intent to renew at least six months, but no more than 12 months, before the current term expires. They must also sign and return the successor franchise agreement, owner's guaranty, and any ancillary agreements, which may contain materially different terms and conditions than the original agreement. The franchisee is also required to refurbish or renovate the studio to Body20's then-current specifications.
Further conditions for renewal include the franchisee and their owners executing a general release in favor of Body20 and its affiliates, completing Body20's then-current training requirements for the Operating Principal and Designated Manager, and securing the right to continue operating at the site for the duration of the successor term. The franchisee must also be in full compliance with the Franchise Agreement and all related agreements, and must pay Body20 the Successor Fee. Failure to meet these requirements would prevent the franchisee from renewing their Body20 franchise.