What is the weekly late charge for overdue payments to Marble Slab Creamery?
Marble_Slab_Creamery Franchise · 2025 FDDAnswer from 2025 FDD Document
r overestimates any fee due to Franchisor and collect the same from Franchisee, then Franchisor will credit the surplus amounts paid against fees due in the next payment period (once Franchisor receives accurate records regarding the Net Sales of the Restaurant operated under this Agreement).
- 4.7 Any payment or report not actually received by Franchisor on or before the due date will be deemed overdue. If any payment is overdue, Franchisee will pay Franchisor, in addition to the overdue amount, interest on such amount from the date it was due until paid at the rate of one and one-half percent (1.5%) per month, or the maximum r
Source: Item 22 — CONTRACTS (FDD page 101)
What This Means (2025 FDD)
According to Marble Slab Creamery's 2025 Franchise Disclosure Document, if a franchisee's payment is overdue, they must pay Marble Slab Creamery a late charge of $125 per week for each week the payment remains unpaid. This is in addition to the overdue amount itself and any interest accrued on that amount. The interest is calculated from the date the payment was due until it is paid, at a rate of 1.5% per month or the maximum rate permitted by applicable law, whichever is less, calculated on a daily basis.
This late charge and interest apply to any payment or report not received by Marble Slab Creamery on or before the due date. This policy incentivizes franchisees to ensure timely payments to avoid these additional costs. The franchisor's entitlement to interest and late charges does not limit any other remedies Marble Slab Creamery may pursue for the overdue payment.
Franchisees should be aware of these financial implications and factor them into their operational planning to maintain a healthy financial relationship with Marble Slab Creamery. Paying attention to due dates and ensuring timely submission of payments and reports is crucial to avoid these charges and maintain good standing with the franchisor.