What happens to fees if a Bw Premier Collection member resigns or is terminated?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
Any Member may resign from the Company at any time, but if the Member resigns or is terminated, fees and dues become immediately due and payable per the terms of the applicable contract and are recognized as revenue when cash is received regardless of the term of the contract.
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to the 2025 Bw Premier Collection FDD, if a member resigns or is terminated, all outstanding fees and dues become immediately due and payable. These fees are determined by the terms of the applicable contract. The FDD states that these fees are recognized as revenue when cash is received, regardless of the original term of the contract.
This means that a Bw Premier Collection franchisee who chooses to leave the system or is terminated for any reason will be responsible for paying all remaining fees owed under their agreement immediately. This could include monthly fees, assessments, annual dues, or any other charges outlined in the franchise agreement.
Prospective franchisees should carefully review the specific terms of their contract with Bw Premier Collection to understand the full scope of fees and dues that could become due upon resignation or termination. Understanding these financial obligations is crucial for making an informed decision about investing in a Bw Premier Collection franchise.