What constitutes abandonment of the Bor Restoration business that could lead to termination?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
- a. You cease to operate the Business or otherwise abandon the Business for 14 consecutive days, or any shorter period that indicates your intent to discontinue operation of the Business, unless and only to the extent that full operation of the Business is suspended or terminated due to Force Majeure or other similar causes beyond your control and not related to the availability of funds to you.
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, ceasing business operations for a specific duration can be considered abandonment, potentially leading to the termination of the franchise agreement. Specifically, if a franchisee ceases to operate the Bor Restoration business for 14 consecutive days, or any shorter period that indicates an intent to discontinue operations, it is considered abandonment.
However, there is an exception to this rule. If the suspension or termination of business operations is due to Force Majeure or other similar causes beyond the franchisee's control, and is not related to the availability of funds, it will not be considered abandonment.
This clause protects Bor Restoration franchisees from termination in situations where external, uncontrollable events prevent them from operating their business. However, it also places the onus on the franchisee to demonstrate that the cessation of operations was indeed due to such unavoidable circumstances and not due to financial issues or a voluntary decision to discontinue the business.