Does Mr. Sandless have the right to discontinue services to a franchisee, and if so, under what circumstances?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
If you are in breach of any obligation under this Agreement, and we deliver to you a notice of termination pursuant to this Article 22, we have the right to suspend our performance of any of our obligations under this Agreement including, without limitation, the sale or supply of any services or products for which we are an approved supplier to you and/or suspension of your web page on our Website, until such time as you correct the breach.
Notwithstanding anything to the contrary contained in this Article, if any valid, applicable law or regulation of a competent governmental authority having jurisdiction over this franchise and the parties hereto shall limit our rights of termination under this Agreement or shall require longer notice periods than those set forth above, this Agreement is deemed amended to satisfy the minimum notice periods or restrictions upon such termination required by such laws and regulations; provided, however, that such constructive amendment shall not be deemed a concession by us that the grounds for termination set forth in this Agreement do not constitute "good cause" for termination within the meaning ascribed to that term
by any applicable law or regulation. We shall not be precluded from contesting the validity, enforceability or application of such laws or regulations in any action, hearing or proceeding relating to this Agreement or the termination of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to Mr. Sandless' 2025 Franchise Disclosure Document, Mr. Sandless has the right to suspend services to a franchisee if the franchisee breaches any obligation under the Franchise Agreement. This includes the suspension of selling or supplying services or products for which Mr. Sandless is an approved supplier, and/or the suspension of the franchisee's web page on Mr. Sandless' website.
This suspension of services remains in effect until the franchisee corrects the breach. This means that a franchisee's failure to meet contractual obligations could lead to a temporary halt in support from Mr. Sandless, impacting their ability to operate effectively.
However, the FDD also states that if any applicable law or regulation limits Mr. Sandless' rights of termination or requires longer notice periods than those in the agreement, the agreement is amended to comply with those minimum requirements. This ensures that the franchisee's rights are protected under the law, even if the franchise agreement specifies otherwise. Mr. Sandless retains the right to contest the validity of such laws or regulations.