Must the Alloy franchisee and their landlord sign the Lease Addendum attached as Schedule B?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
You and your landlord must sign the Lease Addendum attached as Schedule B. We recommend you submit the Lease Addendum to the landlord at the beginning of your lease review and negotiation, although the terms of the Lease Addendum may not be negotiated without our prior approval. If the landlord requires us to negotiate the Lease Addendum, we reserve the right to charge you a fee, which will not exceed our actual costs associated with the negotiation. You must provide us a copy of the executed lease and Lease Addendum within 5 days of its execution. We have no responsibility for the lease; it is your sole responsibility to evaluate, negotiate and enter into the lease for the Facility premises.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, the franchisee and their landlord are required to sign the Lease Addendum, which is attached as Schedule B. Alloy recommends that franchisees provide the Lease Addendum to the landlord early in the lease review and negotiation process. However, the franchisee cannot negotiate the terms of the Lease Addendum without Alloy's prior approval.
If the landlord requires Alloy to negotiate the Lease Addendum, Alloy reserves the right to charge the franchisee a fee for these negotiations, although this fee will not exceed Alloy's actual costs. The franchisee must provide Alloy with a copy of the fully executed lease and Lease Addendum within 5 days of its execution.
Alloy emphasizes that the franchisee is solely responsible for evaluating, negotiating, and entering into the lease for the facility premises. The franchisee must execute the lease, including the Lease Addendum, or the purchase agreement for the approved site within 180 days from the date of the Franchise Agreement. Failure to secure a site within this timeframe may result in Alloy terminating the agreement.