factual

Can a Brueggers Bagels franchisee terminate the Development Agreement?

Brueggers_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

Provision Section in Development Agreement Summary
d. Termination by Not applicable Not applicable. You may terminate under
you any grounds permitted by law.
e. Termination by Not applicable Not applicable
BFC without
cause
f. Termination by Section 9 See g. and h. below.
BFC with cause
Provision Section in Development Agreement Summary
g. “Cause” defined – defaults which can be cured Section 9.5 You have 30 days to cure defaults. In addition, your default under any other agreement that you or an affiliate has with us or our affiliates will constitute a default, subject to any applicable provisions for notice and cure set forth in the other agreement.
h. “Cause” defined – non-curable defaults Section 1.3 and 9.2 Non-curable defaults include: failure to develop the minimum number of Bakeries required; termination of any other agreement with us or our affiliates; unapproved transfer; and repeated defaults, even if cured.

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 49–54)

What This Means (2025 FDD)

According to Brueggers Bagels's 2025 Franchise Disclosure Document, a franchisee has the ability to terminate the Development Agreement under any grounds permitted by law. The Development Agreement term expires on the last deadline specified in the Development Schedule.

Brueggers Bagels, however, can terminate the Development Agreement with cause. Cause includes both defaults that can be cured and those that cannot. Curable defaults allow the franchisee 30 days to correct the issue. Furthermore, a default under any other agreement the franchisee or an affiliate has with Brueggers Bagels or its affiliates also constitutes a default, subject to any applicable notice and cure provisions in that other agreement.

Non-curable defaults include failing to develop the minimum required number of Bakeries, terminating any other agreement with Brueggers Bagels or its affiliates, transferring the agreement without approval, and repeated defaults, even if they are cured. These stipulations are important for prospective franchisees to consider, as failure to meet development obligations or compliance with other agreements can lead to termination of the Development Agreement.

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.