Under what conditions can a Cool Binz franchisee renew their franchise agreement for an additional term?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon the expiration of this Agreement, provided that during its term you complied substantially with its provisions, including the timely payment of all fees and royalties, you may continue your COOL BINZ Business for one (1) additional term of ten (10) years (a "Renewal Term" (as previously defined)).
In order to be awarded a Renewal Term, you must:
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- to award you a renewal franchise agreement;
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- to award you a renewal franchise agreement on the condition that you correct any provisions of this Agreement with which you are not in compliance, which may require you to attend and successfully complete additional trainings; or
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- not to award you a renewal franchise agreement based on our determination that you have not substantially complied with this Agreement during its term.
If applicable, Our Notice will state the actions you must take to correct operating deficiencies and a reasonable time period in which these deficiencies are to be corrected.
If we elect not to award you a renewal franchise agreement, Our Notice will describe the reasons for our decision. Your right to a renewal franchise agreement is subject to your continued compliance with all of the terms and conditions of this Agreement through the date of its expiration, in addition to your compliance with the obligations described in Our Notice.
If you satisfy all of the other conditions to the awarding of a Renewal Term, you must sign the then-current franchise agreement and any ancillary agreements for COOL BINZ Businesses, which may include a different Royalty and/or or Territory. You and we further must sign a mutual general release, in a form satisfactory to us, of any and all claims against either of us and our respective shareholders, officers, directors, employees, agents, successors, and assigns. Such requirement to sign a general release is subject to change in our sole discretion.
Notwithstanding any provision to the contrary, at our request, you will must upgrade and remodel the COOL BINZ Business at your sole expense to conform to the then-current Operations Manual (the completion of such upgrades shall be a condition of you receiving such Renewal Term). Further, you must submit proof to us that you have the right to operate the COOL BINZ Business at the Office Site for the Renewal Term.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to the 2025 Cool Binz Franchise Disclosure Document, a franchisee may be eligible to continue their Cool Binz business for one additional term of ten years, provided they have substantially complied with the provisions of the original agreement during its term. This includes the timely payment of all fees and royalties.
To be awarded a Renewal Term, Cool Binz may require the franchisee to sign the then-current franchise agreement and any ancillary agreements, which may include different royalty and/or territory terms. Both parties must also sign a mutual general release of claims. Cool Binz may also require the franchisee to upgrade and remodel the Cool Binz business to conform to the current Operations Manual at the franchisee's sole expense, and the franchisee must prove they have the right to operate the Cool Binz business at the office site for the Renewal Term.
Cool Binz has the option to award a renewal franchise agreement, award a renewal franchise agreement on the condition that the franchisee corrects any non-compliance issues (which may include additional training), or not award a renewal franchise agreement if the franchisee has not substantially complied with the agreement during its term. If Cool Binz elects not to award a renewal, they will provide a notice describing the reasons for their decision. The franchisee's right to renewal is contingent upon continued compliance with the agreement through its expiration date, as well as compliance with any obligations outlined in Cool Binz's notice.