Under what conditions can Stripe terminate the Connected Account Agreement for a Bonchon franchise?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) The term of this Connected Account Agreement begins when you enroll your Stripe Account with a Stripe Connect Platform and continues until you or Stripe terminate this Connected Account Agreement under this Section. You may terminate this Connected Account Agreement by (a) closing your Stripe Account or (b) unenrolling your Stripe Account from all Stripe Connect Platforms. If after termination you register your Stripe Account with a Stripe Connect Platform again, this Agreement will apply starting on the date on which you register your Stripe Account with a Stripe Connect Platform again. Stripe may terminate this Connected Account Agreement at any time for any reason by notifying you.
- (b) Terminating this Connected Account Agreement will not immediately terminate the Stripe Services Agreement. Stripe and you may only terminate the Stripe Services Agreement according to its terms. This Connected Account Agreement will automatically terminate if the Stripe Services Agreement terminates.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the Stripe Connected Account Agreement can be terminated by either the franchisee or Stripe. A franchisee can terminate the agreement by closing their Stripe Account or unenrolling it from all Stripe Connect Platforms. If the franchisee re-registers their Stripe Account with a Stripe Connect Platform after termination, the agreement will apply again from that date.
Critically, Stripe may terminate the Connected Account Agreement "at any time for any reason by notifying you." This gives Stripe broad latitude to end the agreement with a Bonchon franchisee.
It is important to note that terminating the Connected Account Agreement does not automatically terminate the Stripe Services Agreement, which has its own termination terms. However, if the Stripe Services Agreement is terminated, the Connected Account Agreement will automatically terminate as well. This highlights the interconnectedness of these agreements and the importance of understanding the terms of both for a Bonchon franchisee.