What happens if Bonchon does not fulfill its obligations required to provision and install Windstream service?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
You may not withhold, set-off or recoup payment of any amount due on the grounds of the alleged non-performance or breach of any of our or our affiliates' obligations under this or any other agreement.
- E.
In addition to all other payments under this Agreement, you agree to pay us or our affiliates immediately upon demand: (a) all sales taxes, trademark license taxes and any other taxes, imposed on, required to be collected, or paid by us or our affiliates (excluding any corporate income taxes imposed on us or our affiliates) because we or our affiliates have furnished services or products to you, collected any fee from you, collected any fee from you, licensed our Proprietary Marks to you and/or entered into this Agreement with you; (b) all amounts we advance, pay or become obligated to pay on your behalf for any reason; (c) all amounts you owe us or our affiliates for products or services that you purchase from us or our affiliates; and (d) all amounts you owe us or our affiliates for programs, products or services that you purchase from us or our affiliates.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
Based on the 2025 Bonchon Franchise Disclosure Document, the document does not specify the repercussions if Bonchon fails to fulfill its obligations regarding Windstream service. However, the FDD does outline the duties of the franchisor, stating that as long as the franchisee is not in default of the agreement, Bonchon will grant the right and obligation to acquire and operate franchises in the Development Territory. This is subject to the terms of the agreement and the Franchise Agreements, including the use of the Bonchon System.
While the FDD does not explicitly address the Windstream service, it does state that the franchisee may not withhold, set-off, or recoup payment of any amount due based on the alleged non-performance or breach of any obligations by Bonchon or its affiliates. This suggests that a franchisee cannot simply refuse to pay Bonchon if they believe Bonchon has not met its obligations.
Given the lack of specific details regarding Windstream service obligations, it is important for a prospective franchisee to seek clarification from Bonchon. They should inquire about the specific obligations Bonchon has regarding Windstream, what recourse a franchisee has if Bonchon fails to meet those obligations, and whether there are any penalties or remedies available to the franchisee in such a situation. Understanding these details is crucial before entering into a franchise agreement with Bonchon.