What is the deadline for a Buona franchisee to provide written notice of their election to renew?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
- 2.2 Renewal Options and Condition. Franchisee shall have the option to renew its right to operate the Franchised Business for three (3) additional terms of five (5) years each, provided that Franchisor does not exercise its rights in accordance with Section 2.3 below, if and only if each and every one of the following conditions has been satisfied:
- (a) Franchisee gives Franchisor written notice of its election to renew not less than six (6) months nor more than twelve (12) months prior to the expiration of the Term;
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, a franchisee must provide written notice of their election to renew the franchise agreement not less than six months and no more than twelve months before the expiration of the current term. The initial term of the franchise agreement is ten years.
This requirement is a critical step for a Buona franchisee who wishes to continue operating their business beyond the initial term. Missing this deadline could result in the franchisee losing the right to renew, regardless of their performance or investment in the business. The franchisee must mark their calendar to ensure timely notification within the specified window.
In addition to providing timely notice, the franchisee must meet other conditions to qualify for renewal, such as executing Buona's current franchise agreement, which may contain significantly different terms, including higher fees, executing a general release of claims against Buona, remaining in good standing with no defaults, and fully performing all obligations under the agreement. Meeting all these conditions is essential for a successful renewal.