What action must a Pearce Bespoke licensee take to terminate the authorization?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| The undersigned depositor ("Depositor" or "Licensee") hereby authorizes Pearce Bespoke Franchising, LLC ("Licensor") to initiate debit entries and/or credit correction entries to the undersigned's checking and/or savings account(s) indicated below, and the depository designated below ("Depository" or "Bank") to debit or credit such account(s) pursuant to Licensor's instructions. Please attach a voided blank check, for purposes of setting up bank and transit numbers. |
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| Depository: |
| Branch: |
| City, State Zip: |
| Bank Transit/ABA Number: |
| Account Number: |
| This authority is to remain in full force and effect until 60 days after Licensor has received written |
| notification |
| from Licensee of its termination or expiration. |
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, a licensee must provide written notification to the licensor to terminate authorization. The authorization remains in effect until 60 days after the licensor receives this written notice.
This requirement ensures that Pearce Bespoke is formally notified of the licensee's intent to terminate the agreement, allowing them time to prepare for the transition. The 60-day period provides a buffer for both parties to settle any outstanding issues and for Pearce Bespoke to make necessary arrangements.
This type of notification is a standard practice in franchising, as it protects both the franchisor and franchisee by providing a clear record of the termination request and a reasonable timeframe for winding down operations. A prospective franchisee should be aware of this requirement and factor it into their decision-making process, particularly if they anticipate needing to terminate the agreement at some point.