When are Costs and Attorney's Fees due for a Buona franchise?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Indemnification | Actual costs incurred by us. | As incurred | You have to reimburse us if we are held liable for claims arising from your operation of the development business or incur costs in defending them. |
| Costs and Attorney's Fees | Actual costs incurred by us. | As incurred | You must reimburse us for costs and attorneys' fees for enforcement of covenants, for obtaining specific performance of injunctive relief, and if we are successful in an action to enforce the Area Development Agreement. |
Source: Item 6 — OTHER FEES (FDD pages 16–23)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, costs and attorney's fees are due 'as incurred.' This means a Buona franchisee is responsible for reimbursing Buona for these expenses as they arise.
Specifically, Buona may incur costs and attorney's fees for the enforcement of covenants, obtaining specific performance of injunctive relief, or if Buona is successful in an action to enforce the Area Development Agreement. The franchisee is obligated to cover the actual costs Buona incurs in these situations.
This arrangement means a Buona franchisee could face unpredictable expenses depending on legal or contractual issues that arise. It is important for a prospective franchisee to understand the terms of the franchise agreement and area development agreement to minimize the risk of incurring these fees. Franchisees should maintain open communication with Buona to address any potential issues proactively and seek legal counsel when necessary to protect their interests.