What constitutes acceptance of a revised agreement with Chem Dry?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
nt required to be valid and enforceable. Such modification(s) to this Agreement shall be effective only in such jurisdiction, unless CDI elects to give it greater applicability, and shall be enforced as originally made and entered into in all other jurisdictions. FRANCHISEE agrees to be bound by any such modification to this Agreement.
B. WAIVER OF OBLIGATIONS/FORCE MAJURE
- CDI and FRANCHISEE may by written instrument unilaterally waive or reduce any obligation of or restriction upon the other under this Agreement, effective upon delivery of written notice thereof to the other or another effective date stated in the notice of waiver. Any waiver granted by CDI shall be without prejudice to any other rights CDI, or its affiliates, may have, and will be subject to continuing review by CDI and may be revoked, in CDI's sole discretion, at any time and for any reason, effective upon delivery to FRANCHISEE of ten (10) days prior written notice. CDI and FRANCHISEE shall not be deemed to have waived or impaired any right, power or option reserved by this Agreement (including, without limitation, CDI's right to demand exact compliance with every term, condition, and covenant or to declare any breach to be a default and to terminate this Agreement before its term expires) by virtue of any custom or practice of the parties at variance with the terms hereof; any failure, refusal or neglect of CDI or FRANCHISEE to exercise any rights under this Agreement or to insist upon exact compliance by the other with its obligations hereunder; any waiver, forbearance, delay, failure or omission by CDI, or its affiliates, to exercise any right, power or option, whether of the same, similar or different nature, with respect to other CHEM-DRY Businesses; the existence of franchise agreements for other CHEM-DRY Businesses which contain provisions different from those
contained in this Agreement;
Source: Item 23 — Receipts (FDD pages 68–264)
What This Means (2024 FDD)
According to Chem Dry's 2024 Franchise Disclosure Document, both Chem Dry (CDI) and the franchisee can modify obligations or restrictions under the franchise agreement through a written instrument. This becomes effective once written notice is delivered to the other party, or on another date specified in the waiver notice.
However, any waiver granted by Chem Dry is subject to ongoing review and can be revoked at any time, for any reason, at Chem Dry's discretion. Chem Dry must provide the franchisee with ten days' written notice before the revocation becomes effective. The FDD states that Chem Dry's acceptance of payments from the franchisee after a breach of the agreement does not constitute a waiver of Chem Dry's rights regarding that breach.
The franchise agreement also states that the franchisee agrees to sign and deliver to CDI a revised Summary Page to reflect any changes in the information included on it. This acknowledges that the franchisee is bound by the updated information. This clause ensures that Chem Dry can adapt its franchise system and maintain uniformity across all franchise locations, while also retaining the right to enforce strict compliance with the original agreement terms if it chooses.