When does the Dq Treat conversion addendum terminate?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
- Effective Date. This addendum is effective on the Effective Date of the Agreement and
terminates upon the earlier of the transfer or termination of the Agreement.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat Franchise Disclosure Document, the conversion addendum to the DQ® Treat Operating Agreement terminates upon the earlier of the transfer or termination of the agreement. This means that the addendum, which modifies the original agreement, will no longer be in effect if the franchisee transfers their franchise to a new owner or if the franchise agreement is terminated for any reason as per its terms.
For a prospective Dq Treat franchisee, this condition is important because the conversion addendum likely contains specific modifications or exceptions to the standard franchise agreement. These modifications could affect the franchisee's obligations, fees, or operational requirements. Understanding when the addendum terminates helps the franchisee know when the original terms of the franchise agreement will fully take effect.
This clause ensures that the terms of the franchise agreement are clear and consistent, especially during transitions like a transfer of ownership or termination. It also protects Dq Treat by ensuring that the standard franchise terms apply once the specific circumstances addressed by the addendum are no longer relevant.