How many days does a Crown Gold Exchange franchisee have to cure a default related to non-payment?
Crown_Gold_Exchange Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in franchise | Summary |
|---|---|---|
| or other agreement | ||
| not give us the right to terminate your franchise | ||
| agreement. However, if your franchise | ||
| agreement is terminated, we have the right to | ||
| terminate your MUDA. | ||
| g. “Cause” defined-- | Non-payment by you (10 days to cure); violate | |
| curable defaults | ||
| franchise agreement other than non-curable |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 29–33)
What This Means (2024 FDD)
According to the 2024 Crown Gold Exchange Franchise Disclosure Document, a franchisee has a specific timeframe to correct a default related to non-payment. The FDD outlines the circumstances under which Crown Gold Exchange can terminate a franchise agreement for cause, which includes instances of non-payment.
Specifically, if a Crown Gold Exchange franchisee fails to make required payments, they are granted a 10-day period to cure this default. This means the franchisee has 10 days from the date of notice to rectify the non-payment issue and bring their account current.
It is important to note that the cure period applies specifically to non-payment defaults. Other types of defaults related to violations of the franchise agreement have a longer cure period of 30 days, while certain severe violations are considered non-curable defaults, leading to immediate termination. Franchisees should be aware of these distinctions and ensure timely payments to avoid potential termination of their franchise agreement.