What must a Monicals Pizza franchisee be in order to terminate the Franchise Agreement?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise or Other Agreement | Summary |
|---|---|---|
| a. Length of franchise | Section 4.1 | The initial term is 5 years. |
| term | ||
| b. Renewal or extension of the term | Section 4.2 | You may renew for 3 additional terms of 5 years each. If you fail to meet any one of the conditions in (c) below, we may refuse to renew or extend the terms of your Franchise Agreement. |
| c. Requirements for franchisee to renew or extend | Section 4.2 and Exhibit 6 | You may renew the then current Franchise Agreement if you: have substantially complied with the provisions of the Franchise Agreement; have made capital expenditures as necessary to maintain uniformity with the System; have satisfied all monetary obligations owed to us; are not in default of any provision of the Franchise Agreement or any other agreement between you and us; have given timely written notice of your intent to renew; sign a current Franchise Agreement, which may have materially different terms and conditions than your original Franchise Agreement; comply with current qualifications and training requirements; and sign a General Release in a form satisfactory to us and similar to the General Release attached to the Franchise Agreement. |
| d. Termination by franchisee | Section 16.1 | You may terminate the Franchise Agreement if you are in compliance with it and we materially breach it and we fail to begin to cure our breach within 30 days of receiving your written notice. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 32–41)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, a franchisee can terminate the Franchise Agreement under specific conditions. To do so, the franchisee must be in compliance with the Franchise Agreement. Additionally, Monicals Pizza must materially breach the agreement.
Following the material breach, the franchisee must provide written notice to Monicals Pizza regarding the breach. Monicals Pizza then has 30 days to begin to cure the breach after receiving the franchisee's written notice.
If Monicals Pizza fails to begin curing the breach within the 30-day period after receiving written notice, the franchisee has grounds to terminate the Franchise Agreement. This provision protects the franchisee by allowing them to end the agreement if Monicals Pizza fails to meet its obligations, but it also requires the franchisee to follow a specific procedure to ensure proper notification and opportunity for Monicals Pizza to resolve the issue.