Franchise canceled

Asked almost 3 years ago - Wilmington, NC

The doors havent even opened yet and they canceled my franchise, can i get my 35k back?

Attorney answers (4)

  1. Sharon Griffin Scudder

    Contributor Level 7


    Lawyers agree

    Answered . I am sorry you are dealing with this. The answer depends upon the terms you agreed to in any documents you have signed. Read the contracts you have signed and consider having an attorney get involved to help you.

    Answers on avvo are for educational and informational purposes only and do not establish an attorney-client... more
  2. Melissa D. Lenhard

    Contributor Level 13


    Lawyers agree

    Answered . More information is needed to answer your question. It depends on the terms in your franchise agreement and the reason for the cancellation.

    This response does not create an attorney-client relationship and is not intended to provide legal advice for your... more
  3. Barbara L. Horan

    Contributor Level 9


    Lawyers agree

    Answered . If you click on "Find a Lawyer" at the top of this page and search for "Franchise" in North Carolina, you will find a list of outstanding franchise attorneys who might be able to look at your franchise agreement and tell you whether you have an actionable claim. Many attorneys offer a free consultation. Be sure to disclose the identity of the franchisor up front (before you state, email or fax any facts about the matter) so as to prevent conflicts from arising for the attorney.

    Attorney Horan is licensed to practice in Massachusetts. The response provided here is informational only, not... more
  4. Kevin Brendan Murphy


    Contributor Level 15

    Answered . As a franchise attorney and testifying franchise expert, I can only say it's not really possible to say without examining the surrounding facts and circumstances, as well as the disclosure document and franchise agreement. Your franchise agreement (and Item 5 of the FDD) will stipulate under what conditions the franchise fee is refundable (and I'm assuming that's the $35k you're referring to). Normally, if a franchise company terminates you for cause, like you haven't found a location or opened within the required time frame, as specified in the franchise agreement, you're usually out of luck. Unless the franchise agreement specifies some type of refund that applies under these circumstances. Best of luck.

    Kevin B. Murphy, B.S., M.B.A., J.D.
    Attorney at Law
    Director of Operations - Mr. Franchise

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