What is the duration of the Hyper Kidz franchise term, as stated in the franchise agreement?

According to Hyper Kidz's 2024 Franchise Disclosure Document, the initial term for a Hyper Kidz franchise is ten years, beginning on the date the Franchise Agreement is signed. Upon completion of the initial term, franchisees have the option to renew the agreement for one additional term of ten years, provided they meet certain requirements.

To be eligible for renewal, the franchisee must be in substantial compliance with the Franchise Agreement, lease, and other agreements with Hyper Kidz throughout the initial term and in full compliance at the time of expiration. The franchisee must also provide written notice of their intent to renew within six months, but no later than three months, before the initial term expires. They must also execute the Successor Franchise Documents and pay a Successor Agreement Fee equal to 50% of the then-current initial franchise fee by the expiration date of the initial agreement.

If the franchisee does not meet these requirements, the Franchise Agreement will expire, and they will have no further rights under the agreement. They will also be required to comply with the provisions outlined in Article 19 of the agreement, which covers obligations that survive termination or expiration. This includes ceasing the use of confidential information and potentially selling the assets of the Hyper Kidz Business to the franchisor.