The default clause in a franchise agreement defines the circumstances under which a franchisee is considered in breach of contract. This could include failure to pay fees, violating brand standards, or not meeting performance obligations. The clause typically outlines the consequences of default, which may include termination, penalties, or legal action. Understanding this clause is essential for franchisees to avoid unintentionally violating terms and to know their rights in the event of a dispute.
Default Clause
This term
The default clause outlines the conditions under which a franchisee is considered in breach of agreement.
Joe Bailey
Lead Franchise Advisor & Owner
At Franchise Reports, the goal is simple: help you find better franchises.
