In California, what rights do Buona franchisees have concerning termination, transfer, or nonrenewal of a franchise, according to the addendum?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
ou are open for business. For California franchisees who sign a development agreement, the payment of the development and initial fees attributable to a specific unit in your development schedule is deferred until that unit is open.
-
- Item 6 of the Franchise Disclosur
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the addendum for California franchisees states that California Business and Professions Code Sections 20000 through 20043 provide rights to the franchisee concerning termination, transfer, or nonrenewal of a franchise. This means that California law grants specific protections and rights to franchisees in these areas.
Furthermore, the addendum clarifies that if any provision within the franchise agreement is inconsistent with California law, the law will take precedence. This ensures that Buona franchisees in California are afforded the full protection of the state's franchise laws, regardless of what the standard franchise agreement might state.
This is a beneficial provision for prospective Buona franchisees in California, as it reinforces their rights and protections under state law, especially in matters of termination, transfer, and non-renewal. Franchisees should familiarize themselves with California Business and Professions Code Sections 20000 through 20043 to fully understand their rights.