Under what circumstances can a Ledgers franchisee terminate the Franchise Agreement?

Based on the 2025 Ledgers Franchise Disclosure Document, the document does not explicitly state under what circumstances a franchisee can terminate the agreement. However, it does state under what circumstances Ledgers can terminate the agreement with a franchisee.

Ledgers can terminate the agreement for cause without notice or an opportunity to cure if the franchisee does not attend and pass initial training, is charged with, indicted for, or convicted of a felony or serious misdemeanor involving moral turpitude, violates applicable laws, rules, or regulations related to any franchise law, antitrust law, or securities law, or commits fraud, misappropriation, embezzlement, or unfair and deceptive practices.

Item 22 of the Ledgers Franchise Disclosure Document includes state addenda that may supersede portions of the franchise agreement. For example, in California, the Franchise Agreement provides for termination upon bankruptcy, but this provision may not be enforceable under Federal Bankruptcy Law. Similarly, covenants not to compete extending beyond the termination of the agreements may not be enforceable under California law. Wisconsin franchisees are entitled to ninety (90) days prior written notice of a proposed termination, which states all the reasons for the termination, cancellation, non-renewal or substantive change in circumstances, and the Franchisee shall be given sixty (60) days from the date of delivery or posting of such notice to rectify any claimed deficiency.

Because the FDD excerpt does not fully explain under what circumstances a Ledgers franchisee can terminate the Franchise Agreement, a prospective franchisee should ask the franchisor for more information.