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Upon termination of the Caring Transitions agreement, when does the termination become effective?

Caring_Transitions Franchise · 2025 FDD

Answer from 2025 FDD Document

Termination of this Agreement shall, at Franchisor's option, be effective automatically upon the expiration of the time period specified above (or such longer period as may be required by applicable law) if Franchisee fails to cure the default within such period, or, if no notice of default is required, immediately upon Franchisee's receipt of a written notice of termination.

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 41–49)

What This Means (2025 FDD)

According to Caring Transitions' 2025 Franchise Disclosure Document, the termination of the Franchise Agreement, at Caring Transitions' option, becomes effective automatically upon the expiration of a specified time period if the franchisee fails to address a breach. This timeframe is typically 30 days after the franchisee receives written notice of the breach from Caring Transitions. However, the cure period may be longer if required by applicable law.

Notably, there are exceptions where no written notice or opportunity to cure is required, specifically for defaults described in subsections 13.1(g) through (w). In these instances, termination can be immediate upon the franchisee's receipt of a written notice of termination from Caring Transitions.

This means a prospective Caring Transitions franchisee needs to understand the specific conditions under which a breach can lead to termination, and the importance of addressing any notices of breach promptly to avoid automatic termination. The franchisee should also be aware of the subsections 13.1(g) through (w) to understand the situations where no notice is required and termination can be immediate.

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.