conditional

What is the dependency between site approval and the obligation to open the Fly To Fit franchise by the deadline?

Fly_To_Fit Franchise · 2024 FDD

Answer from 2024 FDD Document

If we and you cannot agree on a site, you will be unable to comply with your obligation to develop and open the franchise by the deadline stated in the franchise agreement.

Unless we agree to extend the deadline, you will be in default and we may terminate your franchise agreement.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 23–30)

What This Means (2024 FDD)

According to Fly To Fit's 2024 Franchise Disclosure Document, a franchisee's ability to meet the opening deadline is directly linked to site approval. If Fly To Fit and the franchisee cannot agree on a site, the franchisee will not be able to meet their obligation to develop and open the franchise by the deadline stated in the franchise agreement.

Unless Fly To Fit agrees to extend the deadline, the franchisee will be in default, which could lead to the termination of the franchise agreement. This highlights the importance of finding a mutually agreeable site within the specified timeframe. The franchisor has 30 days to approve or disapprove a proposed site after the franchisee submits all required documents and information.

This clause protects Fly To Fit by ensuring franchisees promptly establish their locations. However, it also places significant pressure on the franchisee to find an acceptable site and secure approval quickly. Franchisees should carefully consider potential site options and understand the franchisor's approval criteria to avoid delays and potential default.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.