Under what circumstances will the Bojangles Addendum and equipment reimbursement incentives terminate without notice or opportunity to cure?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
- A. Grounds for Termination. This Addendum, and the equipment reimbursement incentives offered pursuant to this Addendum, shall terminate without notice to Developer, and without any opportunity to cure, if:
- (1) Developer fails to open any Restaurant on or before the applicable date set forth in the Development Schedule; or
- (2) Developer and/or any of Developer's affiliates receive a written notice of default under the Development Agreement, any Franchise Agreement or any other agreement with Franchisor or its affiliates and fail to cure the default within the applicable cure period, if any.
- B. Effect of Termination. If this Addendum is terminated, then Developer will not be entitled to receive any further equipment reimbursement incentives under the Program for future Qualifying Restaurants that Developer develops.
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, the Equipment Reimbursement Incentive Program Addendum to the Bojangles Development Agreement can be terminated without notice or opportunity to cure under specific circumstances. This addendum outlines the terms under which a developer can receive equipment reimbursement incentives for opening new Bojangles restaurants. Understanding the conditions that can lead to termination is crucial for any prospective franchisee looking to take advantage of this program.
The addendum will terminate immediately if the developer fails to open any restaurant by the date specified in the Development Schedule. This emphasizes the importance of adhering to the agreed-upon timeline for opening new locations. Delays in opening restaurants can result in the loss of the equipment reimbursement incentives, impacting the franchisee's financial projections and potentially increasing their initial investment costs.
Additionally, the addendum can be terminated if the developer or any of their affiliates receive a written notice of default under the Development Agreement, any Franchise Agreement, or any other agreement with Bojangles or its affiliates, and fail to cure the default within the applicable cure period. This highlights the need for franchisees to maintain compliance with all agreements to avoid jeopardizing their eligibility for the equipment reimbursement incentives. The termination of the addendum means the developer will not be entitled to receive any further equipment reimbursement incentives under the Program for future Qualifying Restaurants that Developer develops.