factual

Can a party seek specific performance in the event of a breach of the Buildingstars agreement?

Buildingstars Franchise · 2025 FDD

Answer from 2025 FDD Document

[Item 22: CONTRACTS]

  • J.

Remedies.

In addition to any other remedies to which it may be entitled, BUILDINGSTARS shall be entitled without bond to entry of injunctive relief and orders of specific

performance enforcing the provisions of this Agreement, in the event FRANCHISEE actually or anticipatorily breaches this Agreement. If BUILDINGSTARS incurs any attorney's fees or other expenses in seeking enforcement of this Agreement, FRANCHISEE shall be required to reimburse BUILDINGSTARS for its reasonable costs and expenses (including, but not limited to attorney's fees) thereby incurred. No right or remedy conferred upon BUILDINGSTARS is intended to be exclusive, and every such right or remedy shall be cumulative and in addition to any other rights or remedies available under this Agreement, or otherwise. For purposes of this Agreement, a termination shall include a termination for any reason, expiration, cancellation, failure to renew, assignment or transfer.

  • K.

No Warranty.

FRANCHISEE acknowledges that, except as otherwise specifically stated herein, BUILDINGSTARS has the absolute right to exercise its own judgment on various matters about this Agreement and the Manual, and has the absolute right to approve, disapprove, give its consent and refuse to consent to FRANCHISEE'S requests in its sole and absolute discretion.

FRANCHISEE agrees that BUILDINGSTARS' action, refusal to act, approval, disapproval, consent, or refusal of consent is not, and shall not be deemed, a representation, warranty, certification or guarantee by BUILDINGSTARS about that which is acted upon or refused consent, or about any appropriateness, legality, profitability, or success related thereto.

No BUILDINGSTARS action, refusal to act, approval, disapproval, consent or refusal to consent is, or shall be deemed, a guarantee, warranty, or representation that the Business complies with, or meets any local, municipal, state, federal, or other laws or regulations relating to the offer of services or otherwise.

If it is found that BUILDINGSTARS wrongfully withheld any consent pursuant to this Agreement, FRANCHISEE'S sole remedy for such failure shall be to require BUILDINGSTARS to grant such consent.

  • L.

Receipt of Franchise Disclosure Document.

[Item 22: CONTRACTS]

XVI. MISCELLANEOUS PROVISIONS

  • A. Waiver. No waiver by BUILDINGSTARS of any default of the FRANCHISEE shall constitute a waiver of any other default and shall not preclude BUILDINGSTARS from thereafter requiring strict compliance with this Agreement.
  • B. Severability. Should any provision of this Agreement be construed or declared invalid, such decision shall not affect the validity of any remaining portion which shall remain in full force and effect as if this Agreement had been executed with such invalid portion eliminated. If any restriction contained in this Agreement is deemed too broad to be capable of enforcement, a court of competent jurisdiction is hereby authorized to modify or limit such restriction to the extent necessary to permit its enforcement. All covenants contained in this Agreement, including but not limited to those relating to non-solicitation and non-competition shall be interpreted and applied consistent with the requirements of reasonableness and equity.
  • C. Injunctive Relief. In the event of any breach or threatened breach of this Agreement by any party, the other party shall immediately be entitled to injunctive relief, in addition to any other remedies available to it, (including a temporary restraining order, preliminary injunction and specific performance) without showing or proving any actual damage sustained and shall not thereby be deemed to have elected its only remedy to the exclusion of others. If BUILDINGSTARS seeks injunctive relief, it shall not be required to post a bond.
  • D. Entire Agreement. This Agreement and all other written agreements related to this Agreement and expressly referenced in this Agreement, represent the entire understanding and agreement between the parties with respect to the subject matter of this Agreement, and supersedes all other negotiations, understandings and representations (if any) made by and between the parties. No representations, inducements, promises or agreements, oral or otherwise, if any, not embodied in this Agreement shall be of any force and effect; provided, however, that nothing in this or any related agreement is intended to disclaim BUILDINGSTARS' representations made in the franchise disclosure document that was furnished to FRANCHISEE in connection with the offering to operate the Business. No amendment to this Agreement is binding unless executed in writing by both parties.

Source: Item 22 — CONTRACTS (FDD page 43)

What This Means (2025 FDD)

According to Buildingstars's 2025 Franchise Disclosure Document, Buildingstars is entitled to seek specific performance in the event the franchisee breaches the agreement. Specifically, Buildingstars can seek specific performance to enforce the provisions of the agreement if the franchisee actually or anticipates breaching the agreement. This right is in addition to any other remedies Buildingstars may have. Buildingstars is not required to post a bond to obtain specific performance.

This means that Buildingstars has the legal right to compel a franchisee to fulfill their obligations under the franchise agreement. This could include actions like adhering to operational standards, maintaining certain levels of service, or fulfilling financial obligations. The FDD states that no right or remedy conferred upon Buildingstars is intended to be exclusive, and every such right or remedy shall be cumulative and in addition to any other rights or remedies available under this Agreement, or otherwise.

Additionally, in the event of any breach or threatened breach of the Agreement by any party, the other party shall immediately be entitled to specific performance. If Buildingstars seeks injunctive relief, it shall not be required to post a bond. This clause ensures that both Buildingstars and the franchisee can seek specific performance to enforce the agreement's terms, providing a legal avenue to ensure compliance and protect their respective interests. This is a fairly standard clause in franchise agreements, allowing parties to seek court orders to compel compliance rather than just monetary damages.

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.