Are the provisions regarding termination by Eos Worldwide subject to state law?

Question

Accepted Answer

| Provision                                               | Section Franchise Agreement | in Summary                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|---------------------------------------------------------|-----------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| a. | 2.2 | Five (5) year term ending on the last day of the calendar month |
| Length of the franchise term |  | following your five-year anniversary. |
| b. Renewal or extension of the term | 2.3 | The franchise may be renewed for up to two 3-year year terms if you are in good standing and we are still in the business of offering and selling new EOS Worldwide franchises. |
| c. Requirements for franchisee to renew or extend | 2.3 | Requirements include: (i) you provide us the prior notice required in the Franchise Agreement; (ii) you complete, to our satisfaction all maintenance and upgrading necessary we require; (iii) you are in good standing; (iv); you satisfy all monetary obligations you owe us, our affiliates, and our Approved Suppliers; (v) you execute our then current form of Franchise Agreement; (vi) you satisfy our then-current requirements for new franchisees and our training requirements; (vii) you and your applicable co-owners sign a general release; and (viii) we are still in the business of offering and selling new EOS franchises. The then-current standard Franchise Agreement may contain materially different terms and conditions than your original Franchise Agreement. |
| d. Termination by franchisee | 17.1 | You may terminate at any time with 60 days' prior written notice. You may also terminate prior to registering for Boot Camp with at least 10 days' prior written notice. To do so, you and your applicable co-owners must execute a full release and you must be in good standing and must pay your monthly fees until your termination date. Except as described above, you are not entitled to any refunds of any fees. Provisions regarding termination by us are subject to state law. |

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 54–59)

Are the provisions regarding termination by Eos Worldwide subject to state law?

Answer from 2025 FDD Document

What This Means (2025 FDD)

Provision	Section Franchise Agreement	in Summary
a.	2.2	Five (5) year term ending on the last day of the calendar month
Length of the franchise term		following your five-year anniversary.
b. Renewal or extension of the term	2.3	The franchise may be renewed for up to two 3-year year terms if you are in good standing and we are still in the business of offering and selling new EOS Worldwide franchises.
c. Requirements for franchisee to renew or extend	2.3	Requirements include: (i) you provide us the prior notice required in the Franchise Agreement; (ii) you complete, to our satisfaction all maintenance and upgrading necessary we require; (iii) you are in good standing; (iv); you satisfy all monetary obligations you owe us, our affiliates, and our Approved Suppliers; (v) you execute our then current form of Franchise Agreement; (vi) you satisfy our then-current requirements for new franchisees and our training requirements; (vii) you and your applicable co-owners sign a general release; and (viii) we are still in the business of offering and selling new EOS franchises. The then-current standard Franchise Agreement may contain materially different terms and conditions than your original Franchise Agreement.
d. Termination by franchisee	17.1	You may terminate at any time with 60 days' prior written notice. You may also terminate prior to registering for Boot Camp with at least 10 days' prior written notice. To do so, you and your applicable co-owners must execute a full release and you must be in good standing and must pay your monthly fees until your termination date. Except as described above, you are not entitled to any refunds of any fees. Provisions regarding termination by us are subject to state law.