Does Chatime waives its right to terminate the agreement in the future if it exercises other remedies?

According to Chatime's 2025 Franchise Disclosure Document, the rights and remedies created within the agreement are cumulative, meaning that Chatime's utilization of one right or remedy does not exclude them from using any other rights or remedies available under the law or equity. This implies that Chatime does not waive its right to terminate the agreement in the future, even if it initially pursues other remedies for a franchisee's default.

This provision is generally favorable for Chatime, as it retains maximum flexibility in addressing franchisee breaches or defaults. It allows Chatime to pursue various actions simultaneously or sequentially, without the risk of being deemed to have waived its right to terminate the agreement. For a prospective franchisee, this means understanding that Chatime has several avenues for recourse if the franchisee fails to comply with the agreement, and the pursuit of one remedy does not preclude Chatime from later deciding to terminate the franchise agreement.

This type of clause is fairly standard in franchise agreements, as franchisors typically want to preserve all available options for addressing franchisee non-compliance. Franchisees should be aware of this and carefully consider the implications, ensuring they fully understand their obligations under the franchise agreement to avoid potential defaults that could lead to various remedies, including termination.