What is the required notification period for a C12 Group franchisee's intent to not renew the Franchise Agreement?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall notify Franchisor of Franchisee's intent to not renew the Term of this Agreement no later than ninety (90) days prior to the expiration of the Term, as may be renewed. If Franchisee elects to not renew the Term of this Agreement, Franchisee shall take all reasonable steps necessary to ensure the continuity of the Franchised Business or, if Franchisor decides to wind down the Franchised Business in Franchisor's sole discretion, the winding down of the Franchised Business, which processes may extend for a reasonable period of time beyond the expiration of the Term.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, a franchisee must notify C12 Group of their intent not to renew the Franchise Agreement at least ninety (90) days before the expiration of the current term. This notification allows C12 Group to prepare for the transition, either by ensuring the continuity of the franchised business or winding it down.
This advance notice is crucial for C12 Group to manage the business's transition effectively. It provides time to find a successor franchisee or to make arrangements for the existing business's closure. The franchisee is obligated to take reasonable steps to ensure business continuity or, if C12 Group decides, to wind down the business, which may extend beyond the agreement's expiration date.
For a prospective C12 Group franchisee, this means understanding the importance of this notification period. Failing to provide timely notice could lead to complications or potential disputes with C12 Group. It is essential to plan well in advance of the agreement's expiration date to make an informed decision about renewal and to communicate that decision to C12 Group within the stipulated timeframe.