factual

What sections of the Southern Steer franchise agreement outline the remedies available upon immediate termination?

Southern_Steer Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 20.1.

Immediate Termination.

The Franchisee will be deemed to be in Default subject to immediate termination of this Agreement and the rights granted herein or the exercise of any other remedies in accordance with Sections 20.4 and 20.5, without prior notice of the default from the Franchisor and without an opportunity to cure the Default unless precluded by applicable law or otherwise as stated herein, if any of the following events occur:

  • (a) the Franchisee, Owners, Operating Principal or the Designated Manager(s) are convicted of, or plead guilty to a charge of violating any law relating to the Franchisee's Southern Steer Business or that adversely affects the operation, maintenance, reputation, or goodwill of the Southern Steer Business, System, the Marks or the Franchisor;

Nothing in this Section 20 will preclude the Franchisor from seeking other remedies or Damages under any state or federal law, common law, or under this Agreement against the Franchisee including, but not limited to, attorneys' fees and injunctive relief.

If this Agreement is terminated by the Franchisor pursuant to this Section 20, or if the Franchisee breaches this Agreement by

a wrongful termination or a termination that is not in strict compliance with the terms and conditions of this Agreement, then the Franchisor will be entitled to seek recovery of all Damages that the Franchisor has sustained and will sustain in the future as a result of the Franchisee's breach of this Agreement.

21. FRANCHISEE'S OBLIGATIONS UPON TERMINATION OR EXPIRATION

  • 21.1. Required Actions. After any termination, expiration, Transfer or cancellation of this Agreement for any reason whatsoever, Franchisee, its Owners, Operating Principal, Guarantor(s) agree:

    • (a) Immediately cease operating the Southern Steer Business;
    • (b) within five business days after termination, expiration, Transfer or cancellation of this Agreement pay all outstanding Fees to the Franchisor, its Affiliates and any Approved Suppliers and Designated Suppliers;
    • (c) immediately return to the Franchisor the Brand Manual, menus, advertising materials and all other printed materials pertaining to the Southern Steer Business, Confidential Information, Trade Secrets, Marks and the System including but not limited to, letterhead, signs, stationery, training materials, forms and invoices and all copies thereof;
    • (d) immediately notify all callers requesting information about Franchisee's former Southern Steer Business that such inquiries should be made to another phone number as specified by Franchisor;
    • (e) immediately take such action as is necessary to remove all references to Franchisee's Southern Steer Business, System, Confidential Information, Trade Secrets, URLs that contain the Marks or any portion thereof or confusingly similar thereto or other Franchisor's or its Affiliates proprietary information from all telephone listings, listing agencies, websites, social media, email service providers, Internet, answering services, and any other organizations where Franchisee has used the above items;
  • (f) immediately cease all marketing or advertising which includes any of the Marks and cease using any and all items or materials which bear or include any of the Marks;

  • (g) immediately cancel all fictitious or assumed names or equivalent registrations relating to Franchisee's Southern Steer Business;

  • (h) within five business days of Franchisor's notice, execute additional documentation required by Franchisor to effectuate this Section 21.1;

  • (i) execute the release in a form specified by Franchisor within five business days of Franchisor providing such release to Franchisee;

  • (j) comply with all other applicable provisions of this Agreement, including all other post-term obligations which expressly or by their nature survive the expiration or termination of this Agreement; and

  • (k) alter the Franchised Location in accordance with Section 21.2.

Source: Item 22 — ITEM. 22 CONTRACTS (FDD pages 61–168)

What This Means (2025 FDD)

According to the 2025 Southern Steer Franchise Disclosure Document, Section 20 of the franchise agreement outlines the default, suspension, and termination conditions, including immediate termination. Specifically, Sections 20.4 and 20.5 detail the remedies available to Southern Steer upon immediate termination of the franchise agreement. These remedies can be exercised without prior notice of default or an opportunity to cure the default, unless prohibited by law.

Upon termination, Southern Steer has the right to seek other remedies or damages under state or federal law, common law, or the agreement, including attorney's fees and injunctive relief. If the agreement is terminated by Southern Steer due to franchisee default, or if the franchisee wrongfully terminates the agreement, Southern Steer is entitled to recover all damages sustained as a result of the franchisee's breach.

Additionally, Section 21 outlines the franchisee's obligations upon termination or expiration of the agreement. This includes ceasing operation of the Southern Steer Business, paying all outstanding fees, returning all materials pertaining to the business, and altering the franchised location to distinguish it from a standard Southern Steer Business. These obligations ensure a smooth transition and protect Southern Steer's brand and system.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.