Under what conditions can Bojangles terminate the Development Agreement due to a breach of the Development Schedule?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
Except as otherwise provided in Paragraphs VIII.B. and VIII.C. of this Agreement, Developer shall have ten (10) days for a monetary default and thirty (30) days for any other default after its receipt from Franchisor of a written Notice of Default within which to remedy any default hereunder and to provide evidence thereof to Franchisor.
If any such default is not cured within that time, or such longer period as applicable law may require, Franchisor may terminate this Agreement, effective immediately upon Developer's receipt of notice from Franchisor after the expiration of the ten (10) day or thirty (30) day period, as applicable, or such longer period as applicable law may require.
In lieu of termination, Franchisor may, at its discretion, elect any of the remedies set forth in Paragraph VIII.E. hereof.
Source: Item 23 — RECEIPTS (FDD pages 82–573)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, the Development Agreement outlines the terms under which a developer is granted rights to establish Bojangles restaurants within a specific area, according to a set Development Schedule. Bojangles can terminate the Development Agreement if the developer fails to meet the obligations outlined in the agreement.
Specifically, if a developer defaults on the agreement, Bojangles must provide a written Notice of Default. The developer then has ten days to remedy a monetary default or thirty days to remedy any other default after receiving the notice. If the developer fails to cure the default within the specified time frame, Bojangles has the right to terminate the Development Agreement. This termination becomes effective immediately upon the developer's receipt of notice from Bojangles after the expiration of the cure period.
However, Bojangles also has the option to pursue other remedies instead of immediate termination. These alternative remedies are detailed in Paragraph VIII.E of the Development Agreement. This indicates that Bojangles retains some flexibility in how it responds to a developer's default, potentially allowing for solutions short of terminating the entire agreement. It is important for prospective developers to understand the default and termination clauses, as well as the potential remedies Bojangles might pursue, to assess the risks and obligations associated with the Development Agreement.