Does the Floyds 99 Franchisor's delay in exercising a right constitute a waiver?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
- 24.9 No Waiver.
No delay, waiver, omission or forbearance on Franchisor's part to exercise any right, option, duty or power arising out of any breach or default by Franchisee or any other franchisee or developer under any of the terms, provisions, covenants or conditions of this Agreement, and no custom or practice by the parties at variance with the terms of this Agreement, shall
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, the franchise agreement specifies that a delay in exercising any right by Floyds 99 does not constitute a waiver. This means that even if Floyds 99 does not immediately enforce a specific term or condition of the franchise agreement, they do not forfeit their right to enforce it later. This protects Floyds 99's ability to address breaches or defaults by franchisees at their discretion, without setting a precedent that weakens their contractual rights.
This provision is common in franchise agreements to protect the franchisor. It prevents a franchisee from arguing that the franchisor's previous inaction prevents them from enforcing a right in the future. For a prospective Floyds 99 franchisee, this means they cannot assume that leniency in one instance will excuse future non-compliance.
The franchisee must consistently adhere to all terms of the franchise agreement. Floyds 99 retains the right to enforce all provisions, even if they have not done so in the past. This clause underscores the importance of understanding and complying with every aspect of the franchise agreement to avoid potential future disputes or penalties.
It is important for a potential Floyds 99 franchisee to seek legal counsel to fully understand the implications of this and other clauses in the franchise agreement. Understanding the franchisor's rights and the franchisee's obligations is crucial for a successful and compliant franchise operation.