How long does a Fly To Fit franchisee have to cure non-compliance before a fee is charged?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
g program after opening, Fly To Fit Franchise may charge its then-current training fee. As of the date of this Agreement, the training fee is $350 per day.
- 4.5 Non-Compliance Fee. Fly To Fit Franchise may charge Franchisee $500 for any instance of non-compliance with the System Standards or this Agreement (other than Franchisee's nonpayment of a fee owed to Fly To Fit Franchise) which Franchisee fails to cure after 30 days' notice. Thereafter, Fly To Fit Franchise may charge Franchisee $250 per week until Franchisee ceases such non-compliance. This fee is a reasonable estimate of Fly To Fit Franchise's internal cost of personnel time attributable to addressing the non-compliance, and it is not a penalty or estimate of all damages arising from Franchisee's br
Source: Item 22 — CONTRACTS (FDD page 44)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, a franchisee has 30 days to cure non-compliance with the System Standards or the Franchise Agreement before a fee is charged. This excludes non-payment of fees owed to Fly To Fit. After the 30-day notice period, Fly To Fit may charge the franchisee $500 for the non-compliance.
If the non-compliance continues beyond the initial 30-day cure period, Fly To Fit may charge an additional $250 per week until the franchisee ceases the non-compliance. This fee is designed to cover Fly To Fit's internal costs related to addressing the non-compliance and is not considered a penalty or a comprehensive estimate of all damages resulting from the breach.
It is important to note that this non-compliance fee is in addition to any other rights and remedies that Fly To Fit may pursue, including default and termination of the Franchise Agreement as outlined in Section 14.2. This means that Fly To Fit could potentially terminate the agreement in addition to charging the non-compliance fee, depending on the severity and nature of the non-compliance.