Under what circumstances can Cd One Price Cleaners terminate the Development Rights Agreement?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
We may terminate the Development Rights Agreement if you do not comply with the development schedule. Otherwise, continuation of your territorial exclusivity under the Development Rights Agreement does not depend on your achieving a certain sales volume, market penetration, or other contingency, and we may not alter your Area or your territorial rights in the Area.
If you comply with the Development Rights Agreement (including the development schedule) during its term, and you and your Affiliated Entities fully comply with all other franchise and other agreements throughout the term of the Development Rights Agreement, then, for 2 years after that agreement expires, you will have a right of first offer for new CD Store development in the Area.
Source: Item 12 — Territory (FDD pages 47–52)
What This Means (2025 FDD)
According to the 2025 FDD, Cd One Price Cleaners may terminate the Development Rights Agreement if the franchisee does not comply with the development schedule. The development schedule would be outlined in the Development Rights Agreement.
Otherwise, Cd One Price Cleaners states that the continuation of territorial exclusivity under the Development Rights Agreement does not depend on achieving a certain sales volume, market penetration, or other contingency. Cd One Price Cleaners also states that they may not alter the franchisee's Area or territorial rights in the Area.
If the franchisee complies with the Development Rights Agreement (including the development schedule) during its term, and the franchisee and its Affiliated Entities fully comply with all other franchise and other agreements throughout the term of the Development Rights Agreement, then, for 2 years after that agreement expires, the franchisee will have a right of first offer for new Cd One Price Cleaners store development in the Area.