Franchise cure periods, explained

What a cure period is, what the FTC says about it, the cure days that state statutes set, and why no source gives a typical cure period in franchise agreements.

A cure period is a window of time, after a franchisor tells you in writing that you are in default, to fix the problem. If the default is fixed within the window, the franchisor generally cannot go on to terminate for that default. If it is not fixed, the franchisor may be able to terminate. Whether you have a cure period, how long it is, and what counts as a cure are set by your franchise agreement and, in some states, by a statute.

We looked for a typical cure period in franchise agreements, such as a figure from the Federal Trade Commission, a state attorney general, a bar association or a court. We did not find one in any source we could open, so this page does not give one. The only sourced statements are the FTC's general one and the statutory day counts set out below.

What the FTC and Item 17 say

The FTC's consumer guide to buying a franchise says: "Many franchise contracts will give you a chance to 'cure' an occasional failure to comply (like making one late payment) but keep the right to terminate your franchise for other failures." That sentence says that some contracts include a cure chance, that it is aimed at occasional failures, and that other failures can still lead to termination. It states no number of days.

Item 17 of the Franchise Disclosure Document is where the contract's own cure terms are summarized. The rule requires separate rows defining "cause" for curable defaults and for non-curable defaults, and says the franchisor must describe each contractual provision briefly. The lead-in tells you to read the provisions in the attached agreements. If you still have your FDD, Item 17 will point you to the agreement section on cure. The guide to Item 17 has more.

What state statutes say about cure days

Where a state franchise relationship law applies, it can fix a cure period or a cap on one. These are statements of what the statutes say in general, drawn from the official text unless marked as read from a mirror.

Washington's statute says a reasonable cure period need not be more than 30 days. More fully, good cause includes a failure to cure after written notice and a reasonable opportunity "which in no event need be more than thirty days," or, if a default cannot reasonably be cured within thirty days, a failure to start substantial and continuing action to cure within thirty days. Illinois (read from a mirror) and Michigan (also a mirror) use the same "no more than 30 days" wording for the cure opportunity.

California: a cure opportunity "which in no event shall be less than 60 days from the date of the notice of noncompliance," and the cure period "shall not exceed 75 days unless there is a separate agreement" to extend it.
Minnesota: written notice of all reasons at least 90 days in advance, and the recipient fails to correct the reasons "within 60 days of receipt of the notice." For one goodwill-damaging default, the notice can be effective after at least 24 hours' written notice to cure.
Wisconsin (mirror): 90 days' prior written notice with "60 days in which to rectify any claimed deficiency"; if rectified within 60 days "the notice shall be void." For non-payment, a 10-day cure.
Iowa: a reasonable cure period "which in no event shall be less than thirty days or more than ninety days," and for non-payment it need not exceed thirty days.
Rhode Island (read from an archive copy dated 2023): a 30-day cure, with up to three cures in any 12-month period; 10 days for non-payment; and 24 hours for public health or safety violations.
Hawaii (mirror): a cure "within a reasonable period of time." The text we read gives no number of days.

States where no cure period appears in the text

Several state statutes require notice of termination but, in the text we read, say nothing about a cure period. New Jersey's section 56:10-5 requires at least 60 days' written notice of all the reasons, and the text read contains no cure period. Connecticut's 42-133f requires at least 60 days' written notice stating the cause, with no cure period in the text. Nebraska's 87-404 and Delaware's franchise security law are similar. Indiana's statute requires 90 days' notice unless the agreement says otherwise, with no cure period in the chapter as read. In these states a cure right, if any, comes from the contract.

That is the extent of what the sources confirm. The table in state franchise relationship laws lays out the same figures state by state, and each state has its own guide, for example Washington and California.

What counts as a cure, and what does not get one

An article on the IFA site by two franchisor-side lawyers says a default notice "should also specify exactly what is required for a cure" and that the franchisor must decide at the outset whether a default is curable. If it is not, they say the notice should say so explicitly. Incurable defaults are a contract concept, and the guide on incurable defaults goes through it.

State statutes also list events where no cure is required. Washington's lists bankruptcy or insolvency, assignment for creditors, voluntary abandonment, and a conviction or plea relating to the franchise business. California's list of events deemed to justify immediate termination without cure includes non-payment within five days after written notice that fees are overdue. After three willful and material breaches of the same term within 12 months, Washington lets a franchisor terminate for a further such breach in that period without notice or cure.

What this means for your own dates

Your cure period is whatever your notice, your franchise agreement and your state's law together provide, and no page on the web can read those for you. The same article says a notice "must provide the appropriate cure period, whether dictated by the franchise agreement or by state statute." If you have a notice, check the date it was sent, the date you received it, and what it says about delivery, since the agreement may count days from either. A lawyer licensed in your state can advise on the dates. For the practical steps, see what to do after a franchise notice of default, and use the check your notice page to list what yours states.