Can the Pearce Bespoke licensee revoke the authorization before the termination or expiration of the agreement?

Based on the 2025 Pearce Bespoke Franchise Disclosure Document, the franchise agreement term is for ten years, but it can be terminated sooner according to the terms of the agreement. The document does not explicitly state whether a franchisee can unilaterally revoke or terminate the agreement before its natural expiration. However, Item 22 outlines various obligations of the franchisee upon termination, suggesting that termination can occur under different circumstances. These obligations include settling outstanding payments, returning or destroying materials related to the franchise, and adhering to non-compete provisions. The terms of the franchise agreement dictate the conditions under which termination can occur.

Furthermore, the Michigan addendum included in the FDD stipulates that a franchisor cannot terminate a franchise before its term ends without good cause. Good cause is defined as the franchisee's failure to comply with the franchise agreement's lawful provisions and failure to cure such non-compliance within a reasonable period (not more than 30 days) after receiving written notice. This implies that Pearce Bespoke franchisees in Michigan have some protection against arbitrary termination.

Given the lack of explicit information on the franchisee's ability to unilaterally revoke the agreement, it is important for a prospective Pearce Bespoke franchisee to seek clarification from the franchisor regarding the specific conditions and procedures for early termination. Understanding the circumstances under which a franchisee can terminate the agreement, as well as any associated penalties or obligations, is crucial for making an informed investment decision.