What is the maximum cure period Learningrx must provide to a franchisee for failure to comply with the Franchise Agreement?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
We will comply with Minnesota Statute 80C.14 subdivisions 3, 4, and 5, which require except in certain specific cases, that you be given ninety (90) days' notice of termination
Subject to applicable law to the contrary, Franchisor may, at its option, terminate this Agreement before its expiration as set forth below:
- (a) With Notice of Thirty (30) Days.
This Agreement will terminate thirty (30) days after Franchisor gives written notice to Franchisee and Franchisee fails to cure the defect within the thirty (30) day period, in the event that:
(i) Franchisee fails or refuses to maintain and operate the Business in compliance with this Agreement, the System, or the Operations Manual;
(ii) Franchisee fails to pay Franchisor or its affiliates or suppliers for obligations under this Agreement;
(iii) Franchisee fails to comply with any material federal, state, or local law or regulation applicable to the operation of the Business;
(iv) Franchisee fails to open the Business within nine (9) months from the Effective Date of this Agreement; or
(v) Franchisee is in breach of any other term, condition, or provision of this Agreement.
(b) Without Notice.
This Agreement and license will immediately terminate without notice in the event that:
(vi) Franchisee misrepresented or omitted material facts which induced Franchisor to enter into this Agreement;
(vii) Franchisee fails to complete the required initial training or has failed to designate an acceptable site pursuant to Section 10;
(viii) Franchisee fails to obtain all required licenses, permits or certifications, or to hire the required licensed professionals to operate the Business within six months of signing this Agreement.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, the maximum cure period Learningrx must provide to a franchisee is 90 days, but only in certain specific cases as required by Minnesota Statute 80C.14 subdivisions 3, 4, and 5.
Outside of Minnesota, Learningrx may terminate the franchise agreement with a 30-day written notice if the franchisee fails to maintain and operate the business in compliance with the agreement, the Learningrx system, or the operations manual. This 30-day cure period also applies if the franchisee fails to pay Learningrx, its affiliates, or suppliers for obligations under the agreement, fails to comply with any material federal, state, or local law or regulation, fails to open the business within nine months, or breaches any other term or condition of the agreement.
However, Learningrx can terminate the agreement immediately without notice if the franchisee misrepresented or omitted material facts, fails to complete the required initial training or designate an acceptable site, or fails to obtain required licenses, permits, or certifications within six months of signing the agreement. Therefore, the cure period can vary significantly depending on the nature of the breach.