factual

How does the Brueggers Bagels franchise agreement define 'Force Majeure'?

Brueggers_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (d) Force Majeure is defined as acts of God, strikes, lockouts or other industrial disturbances, war, riot, epidemic, fire or other natural catastrophe, terrorist acts or government actions resulting from terrorist acts, or other forces beyond Licensee's control which materially and adversely affect the condition or use of the Bakery or Facility premises for purposes of operating a Bruegger's Bakery.

Licensee's

obligation to initiate and continue any required maintenance shall be suspended during any period in which such maintenance is impractical due to Force Majeure.

Source: Item 22 — CONTRACTS (FDD page 61)

What This Means (2025 FDD)

According to Brueggers Bagels' 2025 Franchise Disclosure Document, the franchise agreement defines 'Force Majeure' as specific events that are beyond the franchisee's control and significantly impact their ability to operate the bakery. These events include acts of God, strikes, lockouts, industrial disturbances, war, riots, epidemics, fire or other natural catastrophes, terrorist acts, or government actions resulting from terrorist acts.

This definition is important for a prospective Brueggers Bagels franchisee because it outlines the circumstances under which they may be excused from certain obligations under the franchise agreement, such as maintaining minimum operating hours. If a 'Force Majeure' event occurs, and it materially and adversely affects the condition or use of the bakery, the franchisee's obligation to keep the bakery open may be suspended.

However, it is crucial to note that the event must directly impact the bakery's condition or its use for operating a Brueggers Bagels. The determination of whether an event qualifies as 'Force Majeure' and the extent to which it affects the franchisee's obligations would likely be subject to interpretation and could potentially lead to disputes between the franchisee and Brueggers Bagels. Franchisees should carefully consider this clause and seek legal counsel to fully understand their rights and obligations in such situations.

Furthermore, the agreement stipulates that a franchisee's obligation to initiate and continue any required maintenance is suspended during any period in which such maintenance is impractical due to 'Force Majeure'. This provides some protection to the franchisee, ensuring they are not penalized for failing to maintain the premises when circumstances beyond their control prevent them from doing so.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.