How many instances of default are required for Casiola to terminate the agreement without a cure period?

According to the 2024 Casiola Franchise Disclosure Document, Casiola can terminate the franchise agreement without allowing the franchisee an opportunity to cure the default if the franchisee engages in actions that constitute a default under Articles 16.A.(3) and/or 16.A.(4) of the agreement on three or more instances. This is regardless of whether Casiola issued a notice of default or whether the franchisee cured the default or paid any penalties or additional fees.

In simpler terms, if a Casiola franchisee repeatedly violates the terms outlined in specific sections of the franchise agreement, Casiola has the right to terminate the agreement immediately. This can happen even if the franchisee has previously corrected the issues or paid fines related to those violations. The accumulation of three or more such instances triggers Casiola's right to terminate the agreement without offering a chance to rectify the situation.

This policy highlights the importance of strict compliance with the franchise agreement. For a prospective Casiola franchisee, it means that even if a default is minor and quickly corrected, repeated instances of similar defaults can lead to termination of the agreement. This underscores the need for careful attention to detail and consistent adherence to the terms of the franchise agreement to avoid potential termination.