According to the Mrcool Franchise Agreement, what is the 'Term of this Agreement'?
Mrcool Franchise · 2025 FDDAnswer from 2025 FDD Document
2.B. TERM
Unless previously terminated pursuant to the terms of this Agreement, the term of this Agreement will be for a period of 10 consecutive years, commencing from the Effective Date (the "Term").
Source: Item 23 — RECEIPTS (FDD pages 55–263)
What This Means (2025 FDD)
According to Mrcool's 2025 Franchise Disclosure Document, the standard term for the Franchise Agreement is 10 years. This term commences from the Effective Date, which is defined as the date stated in the first paragraph of the agreement.
This means that a franchisee can expect to operate their Mrcool center under the terms of the Franchise Agreement for a decade, assuming the agreement isn't terminated earlier due to any breaches or other reasons specified in the agreement. The franchisee will need to consider this long-term commitment and plan accordingly.
At the end of the initial 10-year term, the franchisee may have the option to renew the agreement, potentially with updated terms and conditions. It is important for a prospective franchisee to understand the renewal process and any associated fees or requirements.