How many consecutive days of failing to operate the Fitstop franchise constitute abandonment and a material breach?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
- 16.1.2 If you abandon the Franchise by failing to operate it for at least five (5) consecutive calendar days during which you are required by this Agreement to operate the Franchise, or for any period of less than 5 calendar days after which it is not unreasonable under the facts and circumstances for us to conclude that you do not intend to continue to operate the Franchise, unless such failure is due to fire, flood, earthquake, or other force majeure.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, if a franchisee fails to operate the franchise for at least five consecutive calendar days when they are required to be open, it is considered abandonment and a material breach of the agreement. This can lead to termination of the franchise agreement.
However, there is an exception. If the failure to operate for at least five consecutive calendar days is due to events outside of the franchisee's control, such as fire, flood, earthquake, or other force majeure, it will not be considered abandonment.
Additionally, even if the failure to operate is for less than five calendar days, Fitstop may still consider it abandonment if, under the specific facts and circumstances, it is reasonable for them to conclude that the franchisee does not intend to continue operating the franchise.