What is the condition for a Brueggers Bagels licensee to terminate the agreement by delivering a written notice?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 10.2. Termination by Licensee. Licensee shall have the right to terminate this Agreement, if any one or more of the following events shall occur:
- (e) If Licensee is in compliance with terms of this Agreement, and upon delivering to Licensor sixty (60) days' prior written notice that the lease or concession agreement with the host facility for the Bakery has been terminated, expired or not renewed.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to the 2025 Brueggers Bagels Franchise Disclosure Document, a licensee can terminate the License Agreement by providing written notice to the licensor under specific conditions. If the licensee is in compliance with the terms of the agreement, they can terminate the agreement by delivering a sixty-day prior written notice to the licensor, indicating that the lease or concession agreement with the host facility for the bakery has been terminated, has expired, or has not been renewed.
This provision offers Brueggers Bagels franchisees a degree of flexibility if their location's lease cannot be renewed or is terminated. It is important to note that this termination right is contingent upon the franchisee's compliance with all other terms of the License Agreement. Failure to comply with the agreement's terms could invalidate this termination option.
In the franchise industry, it is common for franchise agreements to outline specific conditions under which either party can terminate the agreement. These conditions often include breaches of contract, insolvency, or, as in this case, circumstances related to the leased location. Franchisees should carefully review these termination clauses to understand their rights and obligations. The 60-day notice period allows Brueggers Bagels ample time to find a replacement franchisee or otherwise plan for the location's future.