conditional

Does this document specify any conditions under which the City Wide Franchise Agreement can be terminated?

City_Wide Franchise · 2025 FDD

Answer from 2025 FDD Document

Termination.

Unless otherwise agreed to by the Parties, a t any time after the Initial Term, either Partymay terminate this Agreement upon providing ninety (90) days written notice to the other Party, with the termination effective on the ninetieth day from date of delivery of the written notice.

City Wide will have the right, without incurring any liability to Franchisee, by notice in writing effective when given, to terminate this Agreement in the event the Franchise Agreement is terminated by City Wide.

  • 14.1.5 If Franchisee knowingly maintains false books or records or make or have made any materially false statement or report to CITY WIDE in connection with this Agreement or Franchisee's application for this Franchise; or

  • 14.1.6 If CITY WIDE, at its sole and absolute right, determines that Franchisee or any person Franchisee designates for mandatory training pursuant to Section 4.1 of this Agreement has not satisfactorily completed the training or been approved by CITY WIDE after a face-to-face interview and evaluation; or

  • 14.1.7 If Franchisee commits two or more acts of default under this Agreement within any twelve (12) month period, regardless of whether such defaults are cured or waived; provided, however, that a default under Section 6.5 ("Annual Revenue Per Capita Growth") will not be counted for purposes of applying this subsection; or

  • 14.1.8 If Franchisee fails to operate and equip the Franchised Business as provided in Sections 6 and 7 of this Agreement; or

  • 14.1.9 If Franchisee is a party to any other franchise agreement with CITY WIDE which agreement CITY WIDE has terminated in accordance with the terms and conditions of such other

franchise agreement (unless such termination is based solely on Franchisee's failure to meet the Annual Revenue Per Capita Growth requirements or similar growth requirements); or

  • 14.1.10 If Franchisee fails to operate the Franchised Business during normal business hours for a period of seven (7) days or more without the prior written consent of CITY WIDE or any other circumstance which would lead a reasonable person to believe that Franchisee has permanently left the Franchised Business, and CITY WIDE will declare that Franchisee have abandoned the business for purposes of this Agreement.

  • 14.2 Termination After Failure to Cure.

Franchisee will be deemed to be in default under this Agreement and CITY WIDE may elect to terminate this Agreement and all rights granted under this Agreement if within thirty (30) days after CITY WIDE sends Franchisee written notification setting out the nature of the default ("Notice to Cure"), or within any such period set forth in this Agreement or permissible by law, Franchisee does not correct the default to CITY WIDE's satisfaction:

  • 14.2.15 If Franchisee breaches any other covenant, agreement, obligation, term, warranty, condition, or certification contained in this Agreement.

  • 14.3 Breach of Related Agreement.

If Franchisee defaults under any term of any agreement material to the Franchised Business or any other Franchise Agreement, Development Agreement or other contract or agreement between CITY WIDE or its affiliates, on the one hand, and Franchisee or a Franchisee Affiliated Company, on the other hand, and such default is not cured within the time specified in such agreement, contract or other franchise agreement, such default shall be deemed a default under this Agreement.

  • 15.2 At the end of the Term of this Agreement, whether because of an event of default pursuant to Section 14 above or otherwise, Franchisee will immediately do each of the following:

  • 15.2.2 Pay all sums owing to CITY WIDE.

Upon termination of this Agreement for any default by Franchisee, such sums will include lost Royalties Fees, Marketing Fees and other fees for the remainder of the Term, and other damages, costs, and expenses incurred by CITY WIDE as a result of the default.

Source: Item 22 — CONTRACTS (FDD page 65)

What This Means (2025 FDD)

According to City Wide's 2025 Franchise Disclosure Document, the franchise agreement can be terminated under several conditions. After the initial term, either party can terminate the agreement with 90 days written notice. City Wide can terminate the agreement immediately by written notice if the Franchise Agreement is terminated by City Wide.

City Wide may terminate the agreement if the franchisee knowingly maintains false records, makes false statements to City Wide, fails to complete mandatory training, commits two or more defaults within a 12-month period (with an exception for defaults related to annual revenue per capita growth), fails to operate and equip the franchised business as required, is party to another terminated City Wide franchise agreement, or fails to operate the business during normal hours for seven or more days without consent, leading City Wide to believe the business has been abandoned.

Additionally, City Wide can terminate the agreement if the franchisee fails to correct a default within 30 days of receiving a written notification (Notice to Cure) from City Wide, or if the franchisee defaults under any agreement material to the franchised business or any other agreement with City Wide or its affiliates, and such default is not cured within the specified time. Upon termination for any default, the franchisee must pay all sums owing to City Wide, including lost royalties, marketing fees, and other damages for the remainder of the term.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.