What happens to a Fitstop franchisee's action/suit if it is not brought within the specified time period?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
- 19.8 Limitation(s) of Action. You further agree that no cause of action arising out of or under this Agreement may be maintained by you against us unless you bring an action/suit against us before the earlier of (a) (1 year after the actual act, transaction or occurrence upon which such action is based, or (b) 1 year after you should have reasonably become or actually became aware of facts or circumstances reasonably indicating that you may have a claim against us hereunder.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, a franchisee is restricted in the time they have to bring legal action against Fitstop. Specifically, the franchisee must bring any action or suit against Fitstop within the earlier of one year after the act or occurrence that the action is based on, or one year after the franchisee should have reasonably become aware of facts indicating a potential claim.
This means a Fitstop franchisee cannot delay legal action indefinitely. If a franchisee waits longer than the specified timeframe, their claim will be precluded. This limitation applies to any cause of action arising out of or under the Franchise Agreement.
This type of limitation of action clause is relatively common in franchise agreements. Prospective Fitstop franchisees should be aware of this restriction and consult with an attorney to understand their rights and obligations under the agreement, particularly regarding the timeline for pursuing any legal claims against Fitstop.