What is the deadline for the closing of the purchase of the Floyds 99 shop after termination or nonrenewal?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
ppraisers operating independently. The parties shall bear the expenses of their selected appraiser and shall evenly split the expenses of the third appraiser.
- c. The Franchisor and the Franchisee agree that the terms and conditions of this right and option to purchase may be recorded, if deemed appropriate by the Franchisor, in the real property records and the Franchisor and the Franchisee further agree to execute such additional documentation as may be necessary and appropriate to effectuate such recording; and
- d. The Franchisor shall set the closing for the purchase of the FLOYD'S 99 Shop to take place no later than 60 days after the termination or nonrenewal date. At the Franchisor's option, the Franchisee shall continue the Barbershop operations by extension of this Agreement through
the closing date. The Franchisor will pay the purchase price in full at the closing, or, at its option, in 12 equal consecutive monthly installments with interest at a rate of 10% per annum. The Franchisee must sign all documents of assignment and transfer as are reasonably necessary for purchase of the FLOYD'S 99 Shop or its assets by the Franchisor.
- e.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, if the franchise agreement is terminated or not renewed, Floyds 99 has the option to purchase the shop. The closing date for this purchase must occur no later than 60 days after the termination or nonrenewal date.
Floyds 99, at its discretion, can extend the barbershop operations by extending the agreement until the closing date. At the closing, Floyds 99 will pay the full purchase price or, alternatively, pay it in 12 equal monthly installments with a 10% annual interest rate. The franchisee is required to sign all necessary documents to transfer the shop or its assets to Floyds 99.
If Floyds 99 chooses not to exercise its right to purchase the shop, the franchisee is allowed to sell the physical assets to a third party after the agreement's termination or expiration. However, the franchisee must first remove all appearances of Floyds 99's trademarks, color schemes, and trade dress in a manner approved in writing by Floyds 99.