factual

What is the term length for each successor Creative World School franchise?

Creative_World_School Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 3.01 Your Right to Acquire a Successor Franchise. This Agreement expires 20 years from the Agreement Date. Upon expiration, if you (and each of your owners) have substantially complied with this Agreement during its term, and provided that:
    • (a) you maintain possession of and agree to remodel and/or expand the School, add or replace improvements, equipment and signs and otherwise modify the School as we require to bring it into compliance with specifications and standards then applicable for Schools, or
    • (b) if you are unable to maintain possession of the Site, or if in our judgment the School should be relocated, you secure substitute premises we approve, develop such premises in compliance with specifications and standards then applicable for Schools and continue to operate the School at the Site until operations are transferred to the substitute premises,

then, subject to the terms and conditions set forth in this Section, you will have the right to acquire 3 successor franchises to operate the School as a School, for additional 10-year periods on the

terms and conditions of the franchise agreement we are then using in granting successor franchises for Schools.

  • 3.02 Grant of a Successor Franchise. You agree to give us written notice of your election to acquire a successor franchise during the first 90 days of the last year of the Term or the last year of the term of any successor franchise. We agree to give you written notice ("Response Notice"), not more than 90 days after we receive your notice, of our decision:
    • (a) to grant you a successor franchise;
    • (b) to grant you a successor franchise on the condition that deficiencies of the School, or in your operation of the School, are corrected; or
    • (c) not to grant you a successor franchise based on our determination that you and your owners have not substantially complied with this Agreement during its term.

Source: Item 23 — RECEIPTS (FDD pages 80–247)

What This Means (2025 FDD)

According to the 2025 Creative World School FDD, franchisees who meet specific requirements have the option to acquire successor franchises. The initial franchise agreement lasts for 20 years from the agreement date. If the franchisee has substantially complied with the agreement during its term, they have the right to acquire up to 3 successor franchises.

The term length for each successor franchise is 10 years. To be eligible for a successor franchise, the franchisee must maintain possession of the school and agree to remodel or expand it to meet the current standards. If maintaining possession isn't possible, the franchisee must secure an approved substitute location.

To acquire a successor franchise, the franchisee must provide written notice of their election to do so during the first 90 days of the last year of the current term. Creative World School will then provide a Response Notice within 90 days, indicating whether the successor franchise will be granted, granted with conditions, or denied based on compliance with the agreement.

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.