Under the Chesters EFA, does a waiver of one breach constitute a waiver of subsequent breaches?

According to Chesters's 2025 Franchise Disclosure Document, specifically Item 23 concerning receipts related to the Equipment Finance Agreement (EFA), a waiver of a breach does not constitute a waiver of any other subsequent breach. This means that if Chesters chooses not to enforce a specific term or condition of the EFA at one point in time, it does not forfeit its right to enforce that same term, or any other term, at a later date.

For a prospective Chesters franchisee, this clause is important because it clarifies that leniency on Chesters's part for one infraction does not set a precedent. Chesters retains the right to enforce all provisions of the EFA in the future, regardless of any past waivers. This protects Chesters's interests and ensures consistent application of the EFA terms.

This type of clause is standard in franchise agreements and other legal contracts. It prevents franchisees from claiming that a past instance of non-enforcement means the franchisor has given up its right to enforce a specific rule. Franchisees should, therefore, not assume that a previous failure by Chesters to act on a breach means that the same breach will be overlooked in the future.