Does the Coffee News franchisor's waiver of a breach impair its rights for other breaches?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
- 13.2 Nonwaiver by Franchisor. Neither Franchisor's waiver of a breach or default by Franchisee, nor delay or failure to exercise any right upon breach or default, nor acceptance of any payment, shall be deemed a waiver nor shall the same impair rights for other breaches or defaults of the same or a different kind. The description of any breach or default in any notice shall not preclude the later assertion of other additional defaults or breaches.
Source: Item 23 — Receipts (FDD pages 36–118)
What This Means (2025 FDD)
According to Coffee News's 2025 Franchise Disclosure Document, the franchisor's waiver of a breach or default by a franchisee does not impair its rights regarding other breaches or defaults. This means that if Coffee News chooses not to enforce a specific provision of the franchise agreement in one instance, it does not forfeit its right to enforce that provision or any other provision in the future.
Additionally, any delay or failure by Coffee News to exercise a right upon a breach or default, or the acceptance of any payment, will not be considered a waiver of its rights. This protects Coffee News from inadvertently waiving its rights through leniency or acceptance of payments when a franchisee is in breach of the agreement.
The description of any breach or default in any notice provided by Coffee News does not prevent the franchisor from later asserting other additional defaults or breaches. This clause ensures that Coffee News can address all violations of the franchise agreement, even if they were not initially included in a notice of breach or default. This is a common provision in franchise agreements, designed to protect the franchisor's interests and ensure consistent enforcement of the agreement's terms.