What does 'Renewal Term' refer to in the Stretch Zone franchise agreement?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
"Renewal Fee" means the fee described in Subsection 3.1(h).
"Renewal Franchise Agreement" means our then-current form of Franchise Agreement for new Franchisees at the time you elect to renew the franchise relationship in accordance with Section 16.2.
"Renewal Term" means the term of the Renewal Franchise Agreement signed at the time the parties renew the franchise relationship.
Source: Item 8 — Receipts. Any sale made must be in compliance with § 683(8) of the Franchise Sale Act (N.Y. Gen. Bus. L. § 680 et seq.), which describes the time period a Franchise Disclosure Document (offering prospectus) must be provided to a prospective franchisee before a sale may be made. New York law requires a franchisor to provide the Franchise Disclosure Document at the earliest of the first personal meeting or ten (10) business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship. (FDD pages 99–263)
What This Means (2025 FDD)
According to the 2025 Stretch Zone Franchise Disclosure Document, the 'Renewal Term' refers to the length of time covered by the new franchise agreement a franchisee signs when renewing their franchise.
Specifically, upon electing to renew the franchise relationship, a franchisee will sign a 'Renewal Franchise Agreement'. This agreement will be Stretch Zone's then-current form of franchise agreement for new franchisees at the time of renewal.
The 'Renewal Term' is therefore the duration or term of this new 'Renewal Franchise Agreement'.