Does any delay on the part of Gold Star to exercise a right constitute a waiver of such right?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
- 21.4 No Waiver. No delay or omission on the part of the COMPANY to exercise any right or remedy hereunder shall impair any such right or remedy or be considered a waiver of any such right or remedy or a waiver of any default or condition or any acquiescence therein nor shall the action or non-action of the COMPANY in case of any default impair any right or remedy arising as a result thereof or affect any subsequent default of the same or a different nature. No waiver or consent by the COMPANY shall be effective unless set forth in writing signed by an authorized officer of the COMPANY. No notice, waiver or consent to or demand on the COMPANY in any case shall entitle FRANCHISEE to any other or further notice, waiver, consent or demand in the same, similar or other circumstance.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, a delay or omission on Gold Star's part in exercising any right or remedy does not automatically constitute a waiver of that right. This is explicitly stated in Section 21.4, ensuring that Gold Star's rights are preserved even if they don't immediately act upon a breach or default by the franchisee. This protects Gold Star from inadvertently losing its rights due to temporary inaction.
Furthermore, any waiver or consent by Gold Star must be set forth in writing and signed by an authorized officer to be effective. This requirement ensures that any waiver is intentional and documented, preventing misunderstandings or disputes over verbal agreements or implied waivers. Additionally, any notice, waiver, or consent provided to Gold Star by the franchisee does not entitle the franchisee to any further or similar considerations in other circumstances.
This provision is typical in franchise agreements, as it protects the franchisor's rights and ensures consistent enforcement of the franchise agreement terms. For a prospective Gold Star franchisee, this means they cannot assume that leniency in one instance will apply in all situations. Franchisees must adhere strictly to the agreement terms, as Gold Star retains the right to enforce all provisions fully at any time, unless a written waiver is provided.