factual

When does a Kitchen Solvers termination become effective after written notice is given?

Kitchen_Solvers Franchise · 2025 FDD

Answer from 2025 FDD Document

Termination After Opportunity to Cure. Except as otherwise provided in this Subparagraph 11.B: (i) you will have thirty (30) days from the date of a written notice of default to cure any default under this Agreement; (ii) your failure to cure a default within the thirty (30)-day period will provide us with good cause to terminate this Agreement; (iii) the termination will be accomplished by mailing or delivering to you written notice of termination that will identify the grounds for the

termination; and (iv) the termination will be effective thirty (30) days after the date of the written notice of termination.

Immediate Termination With No Opportunity to Cure. In the event any of the following defaults occurs, you will have no right or opportunity to cure the default and this Agreement will terminate effective immediately on our issuance of written notice of termination: voluntary abandonment of your Business, the loss of your lease, the failure to timely cure a default under the lease, the loss of your right to possession or failure to reopen or relocate under subparagraph 5.D, any unauthorized use of the Confidential Information, you willfully and materially falsify any report, statement or other written data furnished to us; conviction of you or any Personal Guarantor of (or pleading no contest to) any felony or offense that brings or tends to bring any of the Trademarks into disrepute or impairs or tends to impair the goodwill of any of the Trademarks; your insolvency or any Personal Guarantor's insolvency; making an assignment or entering into any similar arrangement for the disposition of assets for the benefit of creditors; any unauthorized assignment or transfer of your Business, this Agreement or the stock of franchisee; any instance where you willfully deceive customers relative to the source, nature or quality of goods sold; any default that results from a subsequent audit of your Business conducted within two years of a previous audit and both audits reveal an understatement of 5% or more in financial information provided to us; or any default by you that is the third similar default within any 12 month consecutive period. Furthermore, we may declare this Agreement null and void if you make any material misrepresentation on the franchise application or otherwise relating to the acquisition of the franchise.

Immediate Termination After 24 Hours to Cure. In the event that a default under this Agreement occurs that materially impairs the goodwill associated with any of the Trademarks (i) you will have twenty –four (24) hours after we provide written notice of the default to cure the default; and (ii) the termination will be effective immediately upon our issuance of written notice of termination.

Effect of Other Laws. We may terminate this Agreement upon any other ground or by any shorter period of notice (but not less than thirty (30) days except as provided above) as may be permitted from time to time by applicable law or regulation. The provisions of any valid, applicable law or regulation prescribing permissible grounds, cure rights or minimum periods of notice for termination of this franchise will supersede any provision of this Agreement that is less favorable to you than such law or regulation.

Source: Item 22 — Contracts (FDD page 49)

What This Means (2025 FDD)

According to Kitchen Solvers's 2025 Franchise Disclosure Document, the termination of the franchise agreement can occur under different circumstances, each with its own effective date following written notice. In most situations where Kitchen Solvers terminates the agreement due to a franchisee's default, the franchisee has thirty days from the date of written notice to correct the issue. If the franchisee fails to fix the default within this period, Kitchen Solvers can then issue a written notice of termination, which becomes effective thirty days after the date of that notice.

However, there are specific instances where Kitchen Solvers can terminate the agreement immediately upon written notice without providing an opportunity to cure. These instances include, but are not limited to, voluntary abandonment of the business, loss of the lease, unauthorized use of confidential information, falsifying reports, a felony conviction that damages the brand's reputation, insolvency, unauthorized transfer of the business, deceiving customers, or repeated similar defaults. Additionally, if a default occurs that materially impairs the goodwill associated with any of the Trademarks, the franchisee has only twenty-four hours to cure the default, and termination is effective immediately upon written notice if the issue is not resolved within that timeframe.

It is also important to note that the FDD states that any applicable law or regulation prescribing permissible grounds, cure rights, or minimum periods of notice for termination that are more favorable to the franchisee will supersede the terms of the franchise agreement. This means that franchisees should be aware of any local or state laws that may provide additional protections regarding termination.

Disclaimer: This information is extracted from the 2025 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.