What is the process for renewing a franchise agreement?
In Washington, the process for renewing a franchise agreement is relatively straightforward. First, the franchisor and franchisee should review the franchise agreement to ensure all their obligations have been fulfilled. This includes reviewing any automatic renewal clauses in the agreement. Next, the franchisor must notify the franchisee of their intent to renew the agreement. This is typically done via a written notice sent by registered or certified mail, or through email if the franchisee has consented to electronic notification. Once the notice has been sent, the franchisee has the right to renew or terminate the agreement. If the franchisee decides to renew, they must return the signed copy of the agreement to the franchisor before the expiration date. The franchisor should also provide the franchisee with a copy of the agreement with all changes highlighted for review. Finally, the franchisee should review the agreement in detail to ensure that all the terms and conditions are acceptable. Once the agreement has been signed, both parties should keep it in a safe place for future reference. If any disputes arise in the future, both parties can review the signed agreement to know their obligations under the law.
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