After notice of termination, a franchisee must be given a reasonable time to wind up the business.

Question

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Franchise agreements often include provisions that allow a franchisee a reasonable period to wind up operations after receiving a notice of termination, to mitigate financial losses and manage the transition out of the franchise system. This is also supported by fair business practices and, in some jurisdictions, by specific franchise legislation.

After Notice of Termination, a Franchisee Must Be Given a Reasonable