On what date does the C3 Wellness Spa Multi-Unit Development Agreement automatically expire?
C3_Wellness_Spa Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Sections in Multi-Unit Development Agreement | Summary | |
|---|---|---|---|
| a. | Length of the franchise term | 3 | Varies depending on the number of Spa Location Franchises to be developed and the Development Area. The agreement commences on the effective date and the term automatically expires at the earlier of the opening of the final Spa Location Franchise required for development, or the last day of the calendar month in which the final Spa Location Franchise was required to be open under the Multi-Unit Development Agreement. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–50)
What This Means (2024 FDD)
According to C3 Wellness Spa's 2024 Franchise Disclosure Document, the Multi-Unit Development Agreement's term varies based on the number of Spa Location Franchises to be developed and the Development Area. The agreement starts on its effective date.
The agreement automatically expires at the earlier of two possible events. The first is when the final Spa Location Franchise required for development opens. The second is on the last day of the calendar month in which the final Spa Location Franchise was required to be open under the Multi-Unit Development Agreement.
As a prospective franchisee, it's crucial to understand the specific development schedule outlined in your Multi-Unit Development Agreement. This schedule dictates the number of spa locations you're obligated to open and the timeframe for doing so. The expiration date of your agreement hinges directly on meeting these development milestones. Failing to adhere to the schedule could impact your rights and obligations under the agreement.