factual

Must a Camp Margaritaville franchisee still have ownership of the site to be eligible for renewal?

Camp_Margaritaville Franchise · 2025 FDD

Answer from 2025 FDD Document

agreements. You should read these provisions in the agreements attached to this disclosure document.

* For purposes of the table below: "LR" refers to the Lodge Rider and "DR" refers to the Dwellings Rider

THE FRANCHISE RELATIONSHIP

Provision Section in franchise or other agreement Summary
a. Length of the franchise term Section 1.02 Initial term is twenty (20) years
b. Renewal or extension of the term Section 1.03 If you are in good standing and satisfy certain conditions (as described in 17.c. below) are met, then you are entitled an automatic renewal of your franchise rights for one additional ten (10) year term
c. Requirements for franchisee to renew or extend Section 1.03 Your renewal right permits you to remain as a franchisee after the initial term of your Franchise Agreement expires. However, to remain a franchisee, you must meet all required conditions to renewal. When renewing, you may be asked to sign a contract with materially different terms and conditions than your original Franchise Agreement. Franchisee must pay a $50,000 renewal fee and comply with the conditions precedent to renewal, including: written notice of intent 12-18 months prior to expiration; not be in default; franchisee still has ownership of site; franchisee agrees
Provision Section in franchise or other agreement Summary
---- -------------------------------------------- -------------------------------------------- --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
to remodel to the Resort's then
current standards; execution of the
then-current
form
of

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 64–68)

What This Means (2025 FDD)

According to Camp Margaritaville's 2025 Franchise Disclosure Document, a franchisee must still have ownership of the site to be eligible for renewal. The initial franchise term is twenty years, with an option for one additional ten-year term if certain conditions are met. To renew the franchise agreement, the franchisee must provide written notice of intent to renew 12-18 months before the expiration of the current term.

In addition to providing advanced notice, the franchisee must not be in default of the franchise agreement. The franchisee must also agree to remodel the Resort to Camp Margaritaville's then-current standards and execute the then-current form of the franchise agreement, as well as a release of claims against the franchisor and its affiliates.

Furthermore, the franchisee must pay a $50,000 renewal fee to Camp Margaritaville. Meeting all of these conditions ensures the franchisee can continue operating under the Camp Margaritaville brand for the additional ten-year term. Failing to meet any of these requirements could result in the denial of the renewal and the termination of the franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.