What is the cure period for a non-monetary default under the Marble Slab Creamery franchise agreement?
Marble_Slab_Creamery Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) Subject to Applicable Law to the contrary, this Agreement may be terminated by Franchisor in the event of any Default by Applicant of this Agreement, unless such Default is cured by Applicant within 5 days following written notice of the Default (in the case of a failure to pay money), or 20 days following written notice of the Default (in the case of any other Default); provided that in the case of a Default by Applicant (or its Affiliate) under any Franchise Agreement or other written agreement, the notice and cure provisions of the Franchise Agreement or other agreement shall control, and provided, further, however, that any Default described in Sections 8.1(b)(i), (ii), (iii) or (vi) below shall be deemed incurable.
- (b) The term "default", as used herein, includes the following:
- (i) Any breach or violation of Section 7.2 of this Agreement.
- (ii) Any Assignment or attempted Assignment in violation of the terms of Section 7.3 of this Agreement, or without the written consents required pursuant to this Agreement.
- (iii) Subject to Section 3.2 of this Agreement, failure of Applicant to satisfy the original Development Obligation hereunder (without regard to the provisions of Section 3.1(c)) for 2 consecutive Development Periods.
- (iv) Failure of Applicant to pay any fee in a timely manner as required by this Agreement or any Franchise Agreement signed by Applicant.
- (v) Applicant's opening of any Restaurant in the Development Area except in strict accordance with the procedures set forth in Sections 6.1 through 6.3 of this Agreement.
- (vi) Any Default of any other agreement between Applicant (or any Affiliate of Applicant) and Franchisor (or any Affiliate of Franchisor), including any Franchise Agreement executed pursuant hereto.
- (b) The term "default", as used herein, includes the following:
Source: Item 23 — RECEIPT (FDD pages 101–346)
What This Means (2025 FDD)
According to the 2025 Marble Slab Creamery Franchise Disclosure Document, a franchisee has 20 days to cure a non-monetary default after receiving written notice. However, this is subject to applicable law to the contrary. If the default occurs under any other agreement between the franchisee and Marble Slab Creamery, the cure provisions in that specific agreement will take precedence. Certain defaults, such as breaches of Section 7.2, unauthorized assignments, failure to meet development obligations, or defaults under other agreements with Marble Slab Creamery, are deemed incurable.
This means that if a Marble Slab Creamery franchisee fails to meet obligations that don't involve payment, such as operational standards or required training, they typically have 20 days to correct the issue after being notified in writing. It's important to note that the specific terms of other agreements with Marble Slab Creamery could override this general 20-day cure period.
The FDD specifies certain defaults that cannot be cured, which could lead to immediate termination of the franchise agreement. Prospective franchisees should carefully review Section 8.1(b) of the franchise agreement to understand what constitutes an incurable default.
It is also important to note that these cure periods and termination conditions may be altered by state-specific addenda to the franchise agreement. For example, addenda for Maryland and Minnesota are included in the FDD, and franchisees should carefully review any addenda for their specific state.