Under what conditions is a waiver or consent by Gold Star effective?
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 waiver or consent by Gold Star is only effective if it is set forth in writing and signed by an authorized officer of the company. This requirement ensures that any waiver or consent is officially documented and authorized by Gold Star, protecting both the franchisor and the franchisee by providing a clear record of the agreement.
This provision is important for prospective franchisees because it means that any verbal agreements or understandings with Gold Star representatives are not binding unless they are formally documented in writing and signed by an authorized officer. Franchisees should ensure that they obtain written confirmation for any waivers or consents they receive from Gold Star to avoid potential disputes or misunderstandings in the future.
Furthermore, the franchise agreement specifies that no delay or omission on Gold Star's part in exercising any right or remedy will be considered a waiver of that right or remedy. This protects Gold Star's ability to enforce the franchise agreement's terms, even if they have previously been lenient or have not immediately acted upon a default by the franchisee. Franchisees should be aware that Gold Star's past actions do not prevent them from enforcing the agreement's terms in the future.