What conditions can Brueggers Bagels specify in the franchise agreement for renewal in Indiana?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
- (8) Permitting the franchisor to fail to renew a franchise without good cause or in bad faith. This chapter shall not prohibit a franchise agreement from providing that the agreement is not renewable upon expiration or that the agreement is renewable if the franchisee meets certain conditions specified in the agreement.
Source: Item 23 — RECEIPTS (FDD pages 61–335)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, the Indiana Addendum to the Franchise Agreement addresses franchise renewals. Specifically, it states that the chapter regarding franchise agreements in the Indiana Code does not prevent Brueggers Bagels from including stipulations in the franchise agreement that the agreement is not renewable upon expiration.
Alternatively, Brueggers Bagels can specify conditions in the agreement that the franchisee must meet to qualify for renewal. This means that the franchise agreement can outline particular requirements or criteria that a franchisee needs to satisfy for their franchise agreement to be eligible for renewal.
This disclosure is important for prospective franchisees in Indiana as it clarifies Brueggers Bagels's rights regarding renewal terms. Franchisees should carefully review the franchise agreement to understand the specific conditions for renewal, as failing to meet these conditions could result in the non-renewal of their franchise.