What is the condition for receiving the six-month extension to the Deka Lash development schedule?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
Area Development Schedule Extension & Fees. In the event that you fail to meet your Area Development obligations under your Area Development Agreement, and you are (a) current on your obligations owed to us, (b) in compliance with your franchise agreement(s) and (c) showing a good faith effort in trying secure and open your next scheduled studio, then following will occur:
- a) Extension with Release (6 months). Per written notice to us and execution of a general release in our favor, we will grant you a one-time, six-month extension to your development schedule with no Delayed Opening Fee. This six-month extension can only be used once during your development agreement and delays all subsequent development dates by 6 months. Pursuant to COMAR 02.02.08.16L, the general release required as a condition of sale, or transfer, shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
Source: Item 12 — TERRITORY (FDD pages 40–44)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, an area developer may be eligible for a one-time, six-month extension to their development schedule if they fail to meet their obligations under the Area Development Agreement. To qualify for this extension, the franchisee must be current on all obligations owed to Deka Lash, in compliance with their franchise agreement(s), and demonstrating a good faith effort to secure and open their next scheduled studio.
To formally receive the six-month extension, the Deka Lash franchisee must provide written notice to Deka Lash and execute a general release in favor of Deka Lash. This extension is granted only once during the development agreement and shifts all subsequent development dates by six months.
It's important to note that this extension comes with a specific legal consideration. The FDD states that pursuant to COMAR 02.02.08.16L, the general release required as a condition of sale, or transfer, shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.