How many days after delivering a written notice of termination does the Cicis Franchise Agreement terminate?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
Provided you and your affiliates have been in Good Standing from the Effective Date and remain so during the notice period specified below, you may, at any time prior to [insert date that is the 18-month anniversary of the Effective Date], and without cause, deliver (as defined in the Franchise Agreement) a written notice to us of your election to terminate the Franchise Agreement. Termination will be effective at the close of business on the 30th day following delivery of your written notice of termination, and you will thereafter be required to comply with all obligations under the Franchise Agreement that are either triggered by or that expressly or by implication survive termination (except the obligation to pay Lost Revenue Damages under Section 16.M of the Franchise Agreement).
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, a franchisee can terminate the Franchise Agreement by delivering a written notice to Cicis. If the franchisee and their affiliates have been in good standing since the Effective Date and remain so during the notice period, the termination will be effective at the close of business on the 30th day following the delivery of the written notice. After termination, the franchisee must comply with all obligations under the Franchise Agreement that are triggered by or survive the termination, except for the obligation to pay Lost Revenue Damages under Section 16.M of the Franchise Agreement.
This means that a Cicis franchisee who meets the good standing requirements can voluntarily terminate their agreement with 30 days' notice. This provides a defined exit strategy, allowing the franchisee to wind down operations and fulfill any post-termination obligations in an orderly manner. However, it is crucial for franchisees to maintain good standing to exercise this termination right.
It's important to note that the definition of "Good Standing" includes being compliant with all agreements with Cicis and its affiliates, and timely satisfaction of all monetary obligations. Failure to maintain this status could impact the franchisee's ability to terminate the agreement under these specific terms. This clause provides a degree of flexibility for franchisees seeking to exit the agreement, but it is contingent on adhering to the terms and conditions of the franchise.