What is Bonchon's requirement for franchisees to notify them if any representation or warranty regarding anti-terrorism or anti-corruption becomes incorrect?

According to Bonchon's 2025 Franchise Disclosure Document, if a franchisee's assets, property, or interests are blocked under any law related to terrorist activities, or if the franchisee violates any such law, ordinance, or regulation, it constitutes an event of default under the franchise agreement.

This means that Bonchon franchisees must ensure that they and their owners remain compliant with all anti-terrorism and anti-corruption laws. Any change in status that leads to a violation or blocking of assets triggers an immediate concern.

While the FDD excerpt does not explicitly state a requirement to 'notify' Bonchon if a representation or warranty becomes incorrect, the implication is that such a situation would constitute a violation of the agreement, potentially leading to termination. A prudent franchisee should proactively inform Bonchon of any such issues to demonstrate good faith and explore potential remedies.