What is the timeframe for satisfying a final judgment against a Zoomin Groomin franchisee before it becomes grounds for termination?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
We may terminate this Agreement for Cause with notice, but without the opportunity for you to cure. "Cause" means:
- g. If a final judgment of record against you or your Franchise Business remains unsatisfied for thirty (30) days or longer;
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to the 2025 Zoomin Groomin Franchise Disclosure Document, Zoomin Groomin can terminate the franchise agreement if a final judgment against the franchisee or their business remains unsatisfied for 30 days or longer. This falls under the conditions that constitute "Cause" for termination, which allows Zoomin Groomin to terminate the agreement with notice but without providing an opportunity for the franchisee to cure the issue.
This means that if a court issues a final judgment against a Zoomin Groomin franchisee, the franchisee has a limited time to satisfy that judgment. If the judgment remains unpaid after 30 days, Zoomin Groomin has grounds to terminate the franchise agreement. The franchisee would not be given an opportunity to correct the situation before termination.
This clause protects Zoomin Groomin from franchisees who may be facing severe financial difficulties or legal troubles that could negatively impact the brand's reputation and the overall franchise system. Franchisees should be aware of this provision and take steps to address any legal judgments against them promptly to avoid the risk of losing their franchise.