Is a Bumper Man franchisee's renewal dependent on not being in default of any agreement with the franchisor or its affiliates?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor or its Affiliates may operate as a result of any acquisition, consolidation or merger.
3. TERM OF FRANCHISE.
- (a) Initial Term. The Initial Term will commence on the Effective Date of this Agreement and expire five years thereafter, unless this Agreement is terminated as provided in Section 18.
- (b) Renewal Term. Franchisee may, at its option, continue to operate the Bumper Business under this Agreement for seven consecutive Renewal Terms, subject to any or all of the following conditions which must, at Franchisor's sole option, be met prior to and at the time of such Renewal Term.
- (i) Franchisee's Notice.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, a franchisee's ability to renew their franchise agreement is contingent upon not being in default of any agreements with Bumper Man or its affiliates. Specifically, the franchisee must not be in default, nor have previously been in default, of any provision of the Franchise Agreement or any other agreement between the franchisee (or their affiliates) and Bumper Man (or its affiliates).
This "Good Standing" requirement means that a Bumper Man franchisee must have consistently met all obligations under their agreements to be eligible for renewal. This includes timely payments, compliance with operational standards, and adherence to all other terms and conditions outlined in the Franchise Agreement and any related documents.
This condition is fairly standard in franchising, as franchisors typically want to ensure that franchisees seeking renewal are those who have demonstrated a commitment to the brand and have operated their businesses responsibly. For a prospective Bumper Man franchisee, this highlights the importance of carefully reviewing and understanding all agreements, maintaining open communication with the franchisor, and diligently meeting all contractual obligations to safeguard their renewal options.