What is the 'Commencement Date' for the Aplus franchise agreement?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
1.12 Term
- (A) Except as otherwise provided herein, the Term of this Lease shall begin on the "Commencement Date" set forth in Part 1. If no date is set forth in Part 1, the Commencement Date shall be the date established by Lessor by notice to you as the date the Premises are ready for occupancy and for the commencement of operation of an APlus Store on the Premises.
- (B) Unless the time for establishing the Commencement Date is extended by mutual agreement of the parties, Lessor shall establish the Commencement Date within the number of days set forth in Part 1 from the date set forth in the first sentence of this Lease and in such event, unless a lesser time is approved by you, you shall be entitled to at least fifteen (15) days' notice of the Commencement Date.
The Term of this Lease shall end as of 10:00 a.m. on the Expiration Date set forth in Section 1.02 of the APlus Premises Lease Part I Cover Provisions unless terminated earlier pursuant to the terms hereof.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, the 'Commencement Date' for the lease term is specified in Part 1 of the lease agreement. If Part 1 does not specify a date, the Commencement Date is the date the Lessor notifies the franchisee that the premises are ready for occupancy and for the commencement of Aplus store operations.
The Lessor is required to establish the Commencement Date within the number of days outlined in Part 1 of the lease, starting from the date mentioned in the lease's first sentence. Unless otherwise agreed, the franchisee is entitled to at least fifteen (15) days' notice of the Commencement Date.
The lease term concludes at 10:00 a.m. on the Expiration Date, as detailed in Section 1.02 of the Aplus Premises Lease Part I Cover Provisions, unless terminated earlier according to the lease terms. This date is important because the franchisee must be ready to open the Aplus store by the Commencement Date, and failure to do so can result in penalties.