Must notices related to the Dryer Vent Squad note be in writing?

According to the 2024 Dryer Vent Squad FDD, if a Dryer Vent Squad franchisee defaults on a note, the lender must provide written notice of the default. Specifically, if the franchisee defaults under the note or another provision of the note, and the default is not cured within the minimum time allotted by law, the lender has the option to declare all outstanding sums immediately due and payable, but only after providing written notice. This written notice is a prerequisite for accelerating the debt and demanding immediate payment. This also includes rights of possession to the Security mentioned in Section 3.

This requirement of written notice protects the Dryer Vent Squad franchisee by ensuring they are formally informed of the default and given an opportunity to correct the issue within the legally required timeframe. It prevents the lender from unexpectedly demanding immediate payment without prior warning. The franchisee should pay close attention to the minimum allotted time by law to cure the default, as this timeframe is critical for avoiding acceleration of the debt.

In the franchise industry, it is common practice for lenders to provide written notice of default before taking further action. This ensures transparency and provides the franchisee with a clear record of the issues and the steps needed to resolve them. The written notice requirement in the Dryer Vent Squad agreement aligns with these standard practices, offering a degree of protection to the franchisee.