What is the intent of the non-waiver provisions of GBL 687.4 and 687.5 in the Boulder Designs Franchise Agreement?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
The failure of either party to insist in any one or more instances upon performance of any terms and conditions of this Agreement shall not be construed a waiver of future performance of any such term, covenant or condition of this Agreement and the obligations of either party with respect thereto shall continue in full force and effect.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the Boulder Designs Franchise Agreement includes a standard non-waiver provision. This provision ensures that if either Boulder Designs or the franchisee fails to enforce any specific term or condition of the agreement in one instance, it does not mean they waive their right to enforce that term in the future. This is a common clause in franchise agreements.
In practical terms, this means that even if Boulder Designs does not strictly enforce a certain requirement at one time, they still retain the right to enforce it later. For example, if Boulder Designs doesn't penalize a franchisee for a minor violation of brand standards on one occasion, they are not prevented from enforcing those standards strictly in the future. Similarly, if a franchisee doesn't insist on strict adherence to a certain obligation by Boulder Designs at one point, they don't lose their right to demand that adherence later.
This provision protects Boulder Designs and the franchisee by ensuring that their rights under the agreement are not unintentionally relinquished through a lack of strict enforcement at all times. It maintains the full force and effect of all terms and conditions, allowing for flexibility in enforcement without setting a precedent for permanent non-enforcement. Franchisees should be aware of this clause, understanding that Boulder Designs's occasional leniency does not nullify any part of the franchise agreement.