Does the Mrcool FDD specify any circumstances under which the franchisor can unilaterally modify the Development Schedule?
Mrcool Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees and represents that it has conducted its own independent investigation and analysis of the prospects for the establishment of MRCOOL Centers within the Development Area, that Franchisee approves of the Development Schedule as being reasonable and viable, and that Franchisee recognizes that failure to achieve the results described in the Development Schedule will constitute a material breach of this Agreement with time being of the essence.
Source: Item 23 — RECEIPTS (FDD pages 55–263)
What This Means (2025 FDD)
The 2025 Mrcool FDD does not explicitly state that Mrcool can unilaterally modify the Development Schedule. However, the FDD emphasizes the importance of adhering to the Development Schedule, noting that failure to comply can result in termination of the agreement. The franchisee acknowledges the Development Schedule is reasonable and viable and that failing to achieve the results described in the Development Schedule will constitute a material breach of the agreement.
The Development Schedule outlines the timeline for opening and operating Mrcool Centers within the Development Area. The franchisee is obligated to open and operate new Development Centers according to this schedule and maintain the minimum cumulative number of centers.
While the FDD does not provide explicit details on modifications to the Development Schedule, it is important for a prospective franchisee to discuss with Mrcool under what specific conditions or circumstances the Development Schedule can be modified. This discussion should clarify whether modifications are possible and what factors Mrcool considers when evaluating such requests.