Under what circumstances, as described in Section 17.01, might a Bonchon franchisee's timely performance of obligations under Article 6 be excused?

According to Bonchon's 2025 Franchise Disclosure Document, Section 6.03 states that a franchisee's timely performance of obligations under Article 6 of the agreement is of material importance and of the essence to the agreement. However, this is subject to the provisions of Section 17.01, which addresses unavoidable delays or failure to perform due to force majeure. This means that if a force majeure event occurs, it may excuse a Bonchon franchisee's failure to meet the deadlines and requirements outlined in Article 6.

In practical terms, this clause protects Bonchon franchisees from being penalized for delays or failures caused by events outside their control. Common examples of force majeure events include natural disasters like hurricanes, earthquakes, or widespread disease outbreaks, as well as other unforeseen circumstances such as wars, terrorist acts, or government regulations that prevent the franchisee from fulfilling their obligations.

It is important for prospective Bonchon franchisees to carefully review Section 17.01 to understand exactly what constitutes a force majeure event under the agreement and what steps they must take to invoke this clause. Franchisees should also be aware that Bonchon may have specific requirements for documenting and reporting force majeure events in order to be excused from performance. Understanding these provisions can help franchisees protect their investment and avoid potential disputes with Bonchon in the event of unforeseen circumstances.