Under what condition can Dq Treat terminate the Acumera agreement?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
If Dairy Queen terminates the Master Agreement for an uncured material Breach of Contract, this Agreement will terminate immediately and no further fees will be due for Products or Services under this Agreement. Acumera may, at Acumera's option and expense, require Participating Location to return Products supplied under this Agreement. Termination shall not relieve Participating Location of the obligation to pay any Fees accrued or payable to Acumera prior to the effective date of termination. Should Participating Location elect to continue to use Acumera's Services past the date of termination of the Master Agreement, the portions of this Agreement which do not concern duties of Dairy Queen will remain in full force and effect, and Participating Location is responsible for all fees incurred as long as Services are being used. In no case will this Agreement extend beyond the Initial Term, if the Master Agreement has been terminated prior to the end of the Initial Term, or beyond the end of the current Renewal Term, if the Master Agreement has been terminated after the end of the Initial Term.
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 FDD, Dq Treat can terminate the Acumera agreement if Dairy Queen terminates the Master Agreement for an uncured material Breach of Contract. In this case, the Acumera agreement will terminate immediately, and no further fees will be due for Products or Services under the agreement. Acumera may require the Participating Location to return Products supplied under the agreement, at Acumera's option and expense.
However, the Participating Location remains obligated to pay any fees accrued or payable to Acumera before the termination date. If the Participating Location continues to use Acumera's Services after the Master Agreement's termination, those parts of the agreement not concerning Dq Treat's duties will remain in effect, and the Participating Location is responsible for all fees incurred as long as the Services are used.
The agreement will not extend beyond the Initial Term if the Master Agreement is terminated before the end of the Initial Term, or beyond the end of the current Renewal Term if the Master Agreement is terminated after the end of the Initial Term.