In Michigan, what constitutes 'good cause' for City Publications to terminate a franchise agreement?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
- ◼ A provision that permits a Franchisor to terminate a franchise prior to the expiration of this term except for good cause. Good cause shall include the failure of the Franchisee to comply with any lawful provision of the Franchise Agreement and to cure such failure after being given written notice thereof and a reasonable opportunity, which in no event need be more than 30 days, to cure such failure.
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications's 2025 Franchise Disclosure Document, Michigan law addresses what constitutes 'good cause' for termination of a franchise agreement. Specifically, a City Publications franchise can only be terminated prior to the expiration of its term for 'good cause'.
In Michigan, 'good cause' includes the franchisee's failure to comply with any lawful provision of the Franchise Agreement. However, City Publications must provide the franchisee with written notice of the failure and a reasonable opportunity to correct it.
The opportunity to cure the failure does not need to be more than 30 days. This means that if a City Publications franchisee in Michigan violates a lawful term of the agreement, they have up to 30 days after receiving written notice to fix the issue, or City Publications can terminate the agreement.