In the event of termination, what assistance must a Bonchon franchisee provide to enable Bonchon to take possession of the Restaurant Location?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
rintouts, and other information pertaining to computer operations, codes, procedures and programming. You agree not to destroy, damage, hide or take any steps to prevent us from obtaining any information which you had stored in the computer system of the franchised Business. You agree not to retain any printouts, disks, tapes or other electronic media containing any of the programs or data stored in the computer systems.
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- At our option, assign to us any interest which you have in the Lease, sublease, right or entry or easement for the Restaurant Location, and vacate the Restaurant promptly and completely, rendering all necessary assistance to us to enable us to take prompt possession.
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- Within 15 days from the date of termination or expiration of this Agreement, arrange with us for us to make an inventory, at our cost, of all of your personal property, fixtures, equipment, inventory and supplies and those of the franchised Business. We will have the option, to be exercised within 30 days after termination or expiration of this Agreement, to purchase from you any or all of these items at fair market value, meaning depreciated book value or actual fair market value, whichever is less. If you and we cannot agree on a fair market value within a reasonable time, we will designate an independent appraiser, whose determination will be binding. We and you will each pay 50% of the fee charged by the independent appraiser. If we elect to exercise any right and option to purchase provided in this subparagraph, we will have the right to set off all amounts due from you under this Agreement, and the cost of the appraisal, if any, against any payments for the assets.
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- If we elect not to assume possession of the Bonchon Restaurant Location and/or elect not to exercise our option under Article 19 below, then promptly upon termination or expiration of this Agreement, you agree to "deidentify" the Bonchon Restaurant Location in all respects by performing all redecoration and remodeling, and effecting physical changes to the Location and the franchised Business' vehicles, décor, trade dress, color combination, signs and other physical characteristics, as we consider necessary in our reasonable business judgment to distinguish the Location from a
duly authorized Bonchon Restaurant Location.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, a franchisee must provide several forms of assistance to enable Bonchon to take possession of the Restaurant Location in the event of termination. Specifically, the franchisee must assign any interest in the lease, sublease, right of entry, or easement for the Restaurant Location to Bonchon, and then promptly and completely vacate the premises. The franchisee is required to render all necessary assistance to facilitate Bonchon's prompt possession of the location.
Additionally, the franchisee must immediately surrender all computer software, data storage disks or tapes, and other electronic media used in the operation of the franchised Business, including printouts and information pertaining to computer operations, codes, procedures, and programming. The franchisee must not destroy, damage, hide, or take any steps to prevent Bonchon from obtaining any information stored in the computer system of the franchised Business. They also must not retain any printouts, disks, tapes, or other electronic media containing any of the programs or data stored in the computer systems.
Furthermore, if Bonchon elects not to assume possession of the Restaurant Location, the franchisee must promptly "deidentify" the location by performing all redecoration and remodeling, and effecting physical changes to the Location and the franchised Business' vehicles, décor, trade dress, color combination, signs, and other physical characteristics necessary to distinguish it from a duly authorized Bonchon Restaurant Location. This includes discontinuing the use of Bonchon's color scheme and removing all identifying architectural superstructure and other distinguishing structures, décor items, furniture, and equipment as directed by Bonchon. If the franchisee fails to do so, Bonchon has the right to enter the location and effect the required changes at the franchisee's sole risk and expense.