What is the cure period for breaches of the Boulder Designs franchise agreement other than nonpayment?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
red and as to which Franchisor may consent, provided such request for extension is provided to Franchisor in writing at least 30 days after the Effective Date.
Section 5.4 Failure to Begin Operations
Should Franchisee fail to begin operating the Franchised Business within 180 days after the Effective Date, Franchisor has the right to terminate this Agreement with no refund to Franchisee of any amounts if Franchisee fails to cure such default within a thirty (30) day period.
Section 5.5 Opening
Before opening the Franchised Business and commencing business, Franchisee must:
i.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, if a Boulder Designs franchisee fails to begin operating the franchised business within 180 days after the effective date, the franchisee has 30 days to cure this default. If the franchisee does not meet this deadline, Boulder Designs has the right to terminate the agreement, and the franchisee will not receive a refund of any amounts paid.
Additionally, if the landlord of the premises sends Boulder Designs a notice of default by the franchisee, Boulder Designs has the right to cure the franchisee's default within 15 days of receiving the notice. This applies to defaults under the lease agreement, not necessarily defaults under the franchise agreement itself.
It is important to note that the FDD does not explicitly state the cure period for all other breaches of the franchise agreement beyond failure to begin operations. A prospective franchisee should seek clarification from Boulder Designs regarding the cure periods for other potential breaches, as these terms can significantly impact the franchisee's rights and obligations.