What is the cure period Buildingstars provides for nonpayment of sums due?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
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- 10 Day Opportunity to Cure BUILDINGSTARS may also terminate this Agreement for nonpayment of sums due to BUILDINGSTARS or BUILDINGSTARS' Affiliates or suppliers; or failure of FRANCHISEE to open the Business in accordance with the time periods specified in this Agreement.
If termination is based on the foregoing, the FRANCHISEE shall be entitled to written notice of default, but BUILDINGSTARS shall [if permitted by applicable law] only be required to grant FRANCHISEE ten (10) days to remedy such default.
If the deficiency is not corrected within said ten (10) day period, BUILDINGSTARS may terminate this Agreement after ninety (90) days from the original default notice.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars' 2025 Franchise Disclosure Document, Buildingstars may terminate the franchise agreement if the franchisee fails to pay sums due to Buildingstars, its affiliates, or suppliers. In such cases, Buildingstars is only required to grant the franchisee ten days to remedy the default, if permitted by applicable law.
If the franchisee does not correct the deficiency within this ten-day period, Buildingstars can terminate the agreement 90 days after the original default notice. This means that while the initial cure period is brief, Buildingstars must still provide a 90-day notice period before officially terminating the agreement.
It is important to note that this ten-day cure period may be superseded by state laws that require a longer or shorter period. Additionally, Buildingstars can terminate the franchise immediately without any opportunity to cure under specific circumstances, such as a felony conviction, fraudulent activity, abandonment of the franchise, bankruptcy, or giving more than two insufficient funds checks within a year, provided that state law permits such immediate termination.