factual

After Bonchon receives an executed lease, how long does Bonchon have to deliver the Franchise Disclosure Document to the franchisee?

Bonchon Franchise · 2025 FDD

Answer from 2025 FDD Document

You and we will execute a Franchise Agreement for each Bonchon Business provided for in the Development Schedule. Each Franchise Agreement will be in the form of our then-current Franchise Agreement, provided that your Initial Franchise Fee (as defined in the Franchise Agreement) will be modified as specified in Section 5.01 above. Each Franchise Agreement will be executed according to the following procedure:

  • (1) Within a period of time we deem appropriate following the receipt of an executed lease in accordance with the terms in Section 7.02 below, we will deliver to you a copy of our thencurrent applicable Bonchon Franchise Disclosure Document, including our then-current applicable Bonchon Franchise Agreement, modified as provided above (collectively, the "Franchise Disclosure Document").
  • (2) Promptly upon receipt of the Franchise Disclosure Document, you must acknowledge receipt by executing the Receipt form prescribed in the Franchise Disclosure Document and promptly returning the Receipt to us.
  • (3) Promptly upon our receipt of your signed Franchise Disclosure Document Receipt, but no sooner than fourteen business days but no later than thirty calendar days after we receive your signed Franchise Disclosure Document Receipt, we will deliver to you the Franchise Agreement. Promptly upon receipt, you must execute the Franchise Agreement and return it, along with the appropriate fees, to us.

If you fail to perform any of the acts or fail to deliver any of the notices required pursuant to the provisions of subsections (2) or (3) above in a timely fashion, this will be a material and incurable breach of this Agreement which, unless we waive the breach, will entitle us to terminate this Agreement immediately on notice to you, with no opportunity to cure.

Source: Item 23 — RECEIPTS (FDD pages 92–536)

What This Means (2025 FDD)

According to Bonchon's 2025 Franchise Disclosure Document, after Bonchon receives an executed lease, they will deliver a copy of the then-current Bonchon Franchise Disclosure Document to the franchisee within a period of time Bonchon deems appropriate.

Upon receiving the Franchise Disclosure Document, the franchisee must acknowledge receipt by signing and returning the Receipt form. After Bonchon receives the signed receipt, they will deliver the Franchise Agreement to the franchisee no sooner than fourteen business days and no later than thirty calendar days after receiving the receipt.

It is important for prospective Bonchon franchisees to understand these timelines, as failure to comply with the specified timeframes for returning documents could result in a breach of the agreement, potentially leading to termination of the agreement by Bonchon. Franchisees should ensure they are prepared to act promptly upon receiving documents from Bonchon to avoid any issues.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.