Under what conditions can a Boulder Designs franchise term be renewed for an additional term?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
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THE FRANCHISE RELATIONSHIP
| Provision | Section in the | Summary | |
|---|---|---|---|
| Franchise Agreement | |||
| a. Length of the franchise | Section 4.1 | 10 years. | |
| term | |||
| b. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 38–44)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the franchise agreement has an initial term of 10 years, with the possibility of an additional 10-year term if certain conditions are met. The specific conditions required for renewal are detailed in Section 4.2 of the Franchise Agreement.
Prospective franchisees should carefully review Section 4.2 of the Franchise Agreement to understand the specific requirements for renewal. These conditions typically involve meeting certain performance standards, updating the business to current brand standards, and executing a renewal agreement and general release.
It is important to note that franchise agreements often require franchisees to sign a general release of claims upon renewal, which could impact a franchisee's rights. Franchisees in California should be aware that California Corporations Code Section 31512 voids any waiver of rights under the Franchise Relations Act. Therefore, franchisees should seek legal counsel to fully understand the implications of any release they are required to sign.