---
title: "Extract early-exit and end-of-term clauses from Item 17"
url: "https://ailawframework.com/practice/franchising-and-distribution/check-early-exit-and-end-of-term-compensation-clauses/united-states"
type: "task_jurisdiction_version"
site: "AI Law Framework"
id: "A34-T1-R7-US"
practice_area: "Franchising & Distribution"
tier: "yellow"
lawyer_review: "required"
jurisdictions: ["US"]
last_reviewed: "2026-10-22"
---

# Extract early-exit and end-of-term clauses from Item 17

> Copy Item 17 rows for length of term, renewal, termination by the franchisee, termination by the franchisor without cause, termination with cause, cause defined as curable and as non-curable, the franchisee's…

Canonical page: https://ailawframework.com/practice/franchising-and-distribution/check-early-exit-and-end-of-term-compensation-clauses/united-states  
Last reviewed: 2026-10-22

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Franchising & Distribution](https://ailawframework.com/practice/franchising-and-distribution.md) |
| Human involvement | Yellow: Lawyer and AI draft together |
| How AI is used | Copy Item 17 rows for length of term, renewal, termination by the franchisee, termination by the franchisor without cause, termination with cause, cause defined as curable and as non-curable, the franchisee's obligations on termination or non-renewal, and the franchisor's option to purchase. Cite the agreement section and page. Do not compute a payment. |
| What the lawyer must review | Item 17 of 16 C.F.R. section 436.5 requires that table and a cross-reference to the agreement. Part 436 as opened does not set a minimum termination-notice period or a compensation amount. Do not import an Australian franchising-code period. The lawyer reads the agreement for any payment, and state relationship statutes were not opened, so none is applied. Section 436.10(b) says the Commission does not intend to preempt a state or local franchise-practices law except to the extent of an inconsistency, and a law is not inconsistent if it affords equal or greater protection, such as registration of disclosure documents or more extensive disclosures. |
| Written for | United States |
| Applies to | [Check early-exit and end-of-term compensation clauses](https://ailawframework.com/practice/franchising-and-distribution/check-early-exit-and-end-of-term-compensation-clauses.md) |

## Checking plan

- What the AI does: Copy Item 17 rows for length of term, renewal, termination by the franchisee, termination by the franchisor without cause, termination with cause, cause defined as curable and as non-curable, the franchisee's obligations on termination or non-renewal, and the franchisor's option to purchase. Cite the agreement section and page. Do not compute a payment.
- Basis: Checked against the linked sources on 22 October 2026. Confirm the current instrument before reliance.

## Notes

- The Item 17 summary can be shorter than the agreement. Read the clause.
- Do not name a state registration statute. No state list was opened.

## Sources

- [16 C.F.R. Part 436, Franchise Rule (eCFR)](https://www.ecfr.gov/current/title-16/chapter-I/subchapter-D/part-436) (checked 2026-10-22)
- [FTC Franchise Rule](https://www.ftc.gov/legal-library/browse/rules/franchise-rule) (checked 2026-10-22)

## Forms and precedents for this task

| Form or precedent | Kind | AI level | Summary |
| --- | --- | --- | --- |
| [Franchisor end-of-term notice: extend, new agreement, or neither (Franchising Code s 36)](https://ailawframework.com/precedents/franchising-and-distribution/end-of-term-notice.md) | Notice | Yellow | Written notice a franchisor must give at least 6 months before the term ends (1 month for a term under 6 months) saying whether it will extend the agreement, offer a new one, or do neither, with the… |
| [Compensation for early termination of a franchise](https://ailawframework.com/precedents/franchising-and-distribution/early-termination-compensation.md) | Checklist | Yellow | Checklist of the compensation and buy-back content the ACCC page says franchise agreements must contain from 1 November 2025 for certain early terminations. |

Signed-in accounts can read the full text of each one.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*
