What are the consequences if a Bombs Away franchisee or owner is convicted of a felony?

According to Bombs Away's 2024 Franchise Disclosure Document, if a franchisee or any owner is convicted of a felony, it constitutes grounds for termination of the franchise agreement. Specifically, Bombs Away has the right to terminate the franchise agreement if the franchisee or any owner is charged with, pleads guilty or no-contest to, or is convicted of a felony.

This provision in the franchise agreement is significant because it means that a Bombs Away franchisee's business can be terminated if they, or any of their owners, are convicted of a felony, regardless of whether the felony is related to the operation of the franchise. This could have serious financial and personal consequences for the franchisee, as they would lose their business and the investment they have made in it.

It is important for prospective Bombs Away franchisees to understand this provision and to ensure that they and their owners have a clean criminal record. Franchisees should seek legal counsel to fully understand the implications of this clause before signing the franchise agreement. This type of clause is relatively standard in franchise agreements to protect the brand and reputation of the franchise system.