Does the Virginia Addendum modify the Zoomin Groomin Disclosure Document regarding grounds for immediate termination?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
Additional Disclosure: The following statements are added to Item 17.h.
Pursuant to Section 13.1-564 of the Virginia Retail Franchising Act, it is unlawful for a franchisor to cancel a franchise without reasonable cause. If any ground for default or termination stated in the franchise agreement does not constitute "reasonable cause," as that term may be defined in the Virginia Retail Franchising Act or the laws of Virginia, that provision may not be enforceable.
Source: Item 17 — g. of the Disclosure Document is modified to state that, in addition to the grounds for immediate termination specified in Item 17.h., the franchisor can terminate upon written notice and a 60 day opportunity to cure for a breach of the Franchise Agreement. (FDD pages 51–65)
What This Means (2025 FDD)
According to the 2025 Zoomin Groomin Franchise Disclosure Document, the Virginia Addendum does address the grounds for termination. Specifically, it adds a statement to Item 17.h regarding the franchisor's ability to cancel a franchise. The addendum states that it is unlawful for Zoomin Groomin to cancel a franchise without reasonable cause, as defined by the Virginia Retail Franchising Act.
This modification means that if any of the reasons for termination listed in the franchise agreement do not meet the standard of "reasonable cause" under Virginia law, those reasons may not be legally enforceable. This provides an additional layer of protection for Zoomin Groomin franchisees in Virginia, ensuring that terminations must be justified under the state's franchising laws.
This type of addendum is common in franchise agreements to ensure compliance with state-specific franchise laws, which can vary significantly. Prospective Zoomin Groomin franchisees in Virginia should carefully review Item 17.h of the Franchise Disclosure Document and the Virginia Retail Franchising Act to understand what constitutes "reasonable cause" for termination in that state. They may also want to seek legal counsel to fully understand their rights and obligations under the franchise agreement and applicable Virginia law.