How long of an extension can a Fly Fitness developer request for the Mandatory Development Schedule?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
ms of the Mandatory Development Schedule are reasonable and viable based upon Developer's independent investigation and analysis. Failure by Developer to adhere to the Mandatory Development Schedule (including any extensions thereof approved by Franchisor in writing pursuant to Section 5.3 below) shall constitute a material event of default under this Agreement.
- 5.3 Extension of Mandatory Development Schedule. If Developer is unable to meet the Mandatory Development Schedule for any Franchised Business, Developer may seek a onetime six (6) month extension of the Mandatory Development Schedule from Franchisor. Any request for an extension must be in writing and submitted to Franchisor at least sixty (60) days prior to the Mandatory Open Date for such outlet. Franchisor shall not unreasonably withhold consent for such reasonable extension provided that Developer has (i) submitted its extension request in a timely manner; (ii) demonstrated diligent efforts to meet the original Mandatory Open Date;
Source: Item 23 — RECEIPT (FDD pages 45–182)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, a developer may request a one-time extension of six months for the Mandatory Development Schedule. To be eligible, the developer must submit a written request to Fly Fitness at least 60 days before the Mandatory Open Date.
Fly Fitness will not unreasonably withhold consent for the extension if the developer meets certain conditions. These conditions include submitting the extension request in a timely manner, demonstrating diligent efforts to meet the original Mandatory Open Date, acting in good faith, and fulfilling all other obligations under the agreement.
This extension provides some flexibility for developers facing unforeseen delays in opening their Fly Fitness locations. However, it is important to note that the extension is not guaranteed and is subject to Fly Fitness's approval. Developers should carefully plan their development schedule and maintain open communication with Fly Fitness to maximize their chances of obtaining an extension if needed. Failure to adhere to the Mandatory Development Schedule, even with an approved extension, constitutes a material event of default under the agreement.