Under what circumstances can Bumble Roofing terminate the franchise agreement?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
(a) Franchisee has not failed to remedy any breach of this Agreement specified by Franchisor in a written notice to Franchisee as per Sections 17.1 or 17.2;
(b) Franchisee has not committed and received notice of two or more breaches of this Agreement in the 12 months prior to the end of the current Initial Term, even if such breaches were timely remedied;
3.3 Franchisee's failure to give timely notice of Franchisee's intention to extend its rights to operate the Roofing Business, as described in Section 3.1(d) shall be deemed an election not to extend Franchisee's rights to operate the Roofing Business. IN FRANCHISOR'S SOLE DETERMINATION, FRANCHISEE MAY BE DEEMED TO HAVE IRREVOCABLY DECLINED TO EXTEND FRANCHISEE'S RIGHTS TO OPERATE THE ROOFING BUSINESS (AND ITS OPTION SHALL THEREUPON TERMINATE) IF IT FAILS TO EXECUTE AND RETURN TO FRANCHISOR THE SUCCESSOR FRANCHISE AGREEMENT AND OTHER DOCUMENTS REQUIRED BY FRANCHISOR WITHIN 30 DAYS AFTER THEIR DELIVERY TO FRANCHISEE, OR FAILS TO COMPLY IN ANY OTHER WAY WITH THE PROVISIONS OF THIS SECTION 3.
17.9 Should Franchisee, or any partnership or joint venture or corporation in which Franchisee has a controlling equity interest, be a franchisee pursuant to another BUMBLE ROOFING® franchise agreement with Franchisor, respecting another franchised Business using the Marks, a default under this Agreement shall constitute a default under such other BUMBLE ROOFING® franchise agreement and vice versa, with like remedies available to Franchisor.
Should such other BUMBLE ROOFING® franchise agreement cease to be valid, binding and in full force and effect for any reason then Franchisor may, at its option terminate this Agreement and this Agreement shall be forthwith surrendered by Franchisee and terminated, and likewise should this Agreement cease to be valid binding and in full force and effect for any, reason, Franchisor may at its option terminate the other BUMBLE ROOFING® franchise agreement and the other BUMBLE ROOFING® franchise agreement shall be forthwith surrendered and terminated.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, Bumble Roofing can terminate the franchise agreement under certain circumstances, particularly related to breaches of the agreement or issues with renewal. Specifically, if a franchisee has failed to remedy any breach specified by Bumble Roofing in a written notice, or if they have committed and received notice of two or more breaches within the 12 months prior to the end of the initial term, Bumble Roofing may choose not to extend the franchise agreement.
Additionally, if a franchisee fails to provide timely notice of their intention to extend the agreement, Bumble Roofing may deem this as an election not to extend the rights to operate the roofing business. The agreement also states that if the franchisee fails to execute and return the successor franchise agreement and other required documents within 30 days of delivery, Bumble Roofing may consider the franchisee to have declined to extend their rights.
Furthermore, if a Bumble Roofing franchisee has multiple franchise agreements and defaults on one, that default can trigger a default under all other Bumble Roofing franchise agreements. If any of the other Bumble Roofing franchise agreements cease to be valid, binding, and in full force and effect for any reason, Bumble Roofing has the option to terminate the franchise agreement in question. This interconnectedness of agreements highlights the importance of maintaining compliance across all franchise locations for franchisees with multiple units.
These termination conditions are important for prospective franchisees to understand, as they outline the specific actions or inactions that could lead to the termination of their franchise agreement. Franchisees should be diligent in adhering to the terms of the agreement and maintaining open communication with Bumble Roofing to address any potential issues promptly.