What specific failures can lead to termination for repeated default of the Bumper Man agreement?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
This Agreement will terminate immediately upon delivery of Notice to Franchisee if Franchisee (or any of its Principals) fails on three or more separate occasions within any period of 12 consecutive months to do any one or more or combination of the following: (1) submit when due reports or other data, information or supporting record; (2) pay when due any amounts due to Franchisor or its Affiliates; or (3) otherwise materially comply with this Agreement, whether or not such failures are corrected after Notice of such failure is delivered to Franchisee.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, the franchise agreement can be terminated immediately if the franchisee, or any of its principals, fails on three or more separate occasions within a 12-month period to meet certain obligations. These failures do not need to be corrected after notice to trigger termination.
The specific failures that can lead to termination for repeated default include failing to submit reports or other required data, information, or supporting records when due. Another cause for termination is failing to pay any amounts due to Bumper Man or its affiliates when they are due. Finally, the agreement can be terminated for otherwise materially failing to comply with the franchise agreement.
This section of the FDD outlines the importance of adhering to the terms of the franchise agreement, submitting required information, and making timely payments. Franchisees should ensure they have systems in place to meet these obligations to avoid potential termination. The "materially comply" clause is broad, so franchisees should seek clarification from Bumper Man regarding what specific actions or inactions could be considered a material breach leading to repeated default.