Under what conditions can a Cinnaholic developer terminate the Development Agreement?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
Developer may terminate this Agreement if Developer is in substantial compliance with this Agreement and Franchisor materially breaches this Agreement and fails to cure such material breach within 90 days after written notice thereof is delivered to Franchisor.
Notwithstanding the foregoing, if the breach is curable but is of a nature which cannot reasonably be cured within such 90 day period and Franchisor has commenced and is continuing to make good faith efforts to cure such breach, Franchisor shall be given an additional 60 day period to cure the same, and this Agreement shall not terminate.
In the event of termination by Developer, all post-termination obligations of Developer described herein shall not be waived but shall be strictly adhered to by Developer.
Source: Item 23 — RECEIPT (FDD pages 62–269)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, a developer can terminate the Development Agreement if they are in substantial compliance with the agreement and Cinnaholic materially breaches the agreement. The developer must provide written notice of the breach to Cinnaholic, and Cinnaholic has 90 days to cure the breach.
If the breach is of a nature that it cannot reasonably be cured within 90 days, Cinnaholic is given an additional 60 days to cure the breach, provided they have commenced and are continuing to make good faith efforts to cure the breach. If Cinnaholic fails to cure the breach within the allotted time, the developer can terminate the agreement.
Even if the developer terminates the agreement, all post-termination obligations of the developer must still be adhered to.