What constitutes abandonment of the Cool Binz Business?

According to Cool Binz's 2025 Franchise Disclosure Document, Cool Binz can terminate the franchise agreement if the franchisee ceases to continuously and actively operate the business for five consecutive days. This is considered abandonment of the business unless the cause is an act of God or another circumstance beyond the franchisee's control, as determined by Cool Binz. Additionally, abandonment is determined if the business telephone is disconnected at any time and no new number is immediately reinstalled or reconnected, or if Cool Binz otherwise determines the franchisee's conduct constitutes abandonment.

This clause is significant for prospective Cool Binz franchisees because it sets a clear expectation for continuous operation. A franchisee must maintain active engagement with the business to avoid termination. The exception for events beyond the franchisee's control offers some protection, but the final determination rests with Cool Binz, which introduces an element of subjectivity.

It is important to note that the FDD does not define what constitutes an "act of God" or "other circumstance beyond your control." A prospective franchisee should seek clarification from Cool Binz regarding what specific events would qualify under this exception. Additionally, the franchisee should clarify what specific actions or inactions Cool Binz would consider as abandonment of the business.