What constitutes a material breach of the City Wide franchise agreement regarding the Operating Manual?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.4 Failure to follow the mandatory specifications and standards set forth in the Operating Manual, as amended from time to time, constitute a material breach of this Agreement. If such material breach is not cured within thirty (30) days of receipt of the written notice of default from CITY WIDE, CITY WIDE may terminate this Agreement.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, failing to follow the mandatory specifications and standards outlined in the Operating Manual, as it may be updated from time to time, constitutes a material breach of the franchise agreement. This means that City Wide franchisees are obligated to adhere to the guidelines, procedures, and rules detailed in the Operating Manual.
If a City Wide franchisee does not comply with these mandatory specifications and standards, City Wide will issue a written notice of default. The franchisee then has thirty (30) days from the receipt of this notice to correct the breach.
If the franchisee fails to cure the breach within the 30-day period, City Wide has the right to terminate the franchise agreement. This highlights the importance of franchisees understanding and consistently implementing the standards and procedures detailed in the City Wide Operating Manual to avoid potential termination of their franchise agreement.