Under what circumstances will the Bojangles 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 outlines specific conditions under which the equipment reimbursement incentives can be terminated without prior notice or an opportunity to rectify the situation. This addendum modifies the Development Agreement between Bojangles and the developer, detailing the terms for receiving benefits under the program.
The equipment reimbursement incentives offered to Bojangles developers can be terminated immediately if the developer fails to open any restaurant by the date specified in the Development Schedule. Additionally, the incentives will be terminated without notice 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 they fail to cure the default within the given cure period.
If the Equipment Reimbursement Incentive Program Addendum is terminated, the developer will no longer be eligible for any further equipment reimbursement incentives for future qualifying Bojangles restaurants they develop. This could significantly impact the developer's financial projections, as they would need to cover the full equipment costs for new restaurants without the anticipated reimbursement from Bojangles.