What is the Bumble Roofing franchisor's right regarding additional successor terms?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Successor Addendum ("Successor Addendum") to the Successor Franchise Agreement is made and entered into this day of, 20, by and between BUMBLE ROOFING FRANCHISOR, LLC ("Franchisor") and ("Franchisee"). | |||||||
|---|---|---|---|---|---|---|---|
| BACKGROUND | |||||||
| 1. 20 ("Franchise | Franchisor and Franchisee entered into a Franchise Agreement dated, Agreement") pursuant to which Franchisee operates a BUMBLE ROOFING® Roofing Business located in ("Franchised Business"). | ||||||
| 2. | The Franchise Agreement will expire by its own terms on, 20 | ||||||
| 3. | Addendum into the Successor Franchise Agreement. | AGREEMENT | Franchisor and Franchisee intend to enter into a successor franchise agreement ("Successor Franchise Agreement") and desire to amend its terms by incorporating the terms of this Successor | ||||
| 1. | Franchisor, however, reserves the right to offer Franchisee additional successor terms. | NO ADDITIONAL SUCCESSOR TERMS. Franchisor and Franchisee acknowledge and agree that, notwithstanding Section 3 of the Successor Franchise Agreement, Franchisee has no rights to any additional successor terms upon the expiration or termination of the Successor Franchise Agreement. |
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, the franchisor reserves the right to offer franchisees additional successor terms beyond the initial successor term. However, Bumble Roofing also stipulates that franchisees have no rights to any additional successor terms upon the expiration or termination of the Successor Franchise Agreement. This is outlined in the Successor Addendum to the Successor Franchise Agreement.
In practical terms, this means that while Bumble Roofing may choose to offer additional franchise terms beyond the first renewal, franchisees cannot automatically expect or demand them. The decision to grant further extensions rests solely with the franchisor.
This clause provides Bumble Roofing with flexibility in managing its franchise network and ensuring that franchisees continue to meet its standards. For a prospective franchisee, it highlights the importance of performing well and maintaining a good relationship with the franchisor to increase the likelihood of being offered additional terms. It also underscores the need to understand that franchise renewal is not guaranteed and depends on the franchisor's discretion.