If Sunoco initiates judicial proceedings to recover possession of the premises after termination or expiration of the lease and recovers judgment for possession, is an Aplus franchisee required to pay Sunoco's attorneys' fees?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
Costs incurred by Sunoco for restoration of the Premises to original condition, and for removal, storage, and disposition of your property left or found on the Premises, shall be borne by you and paid to Sunoco.
(D) Notwithstanding the foregoing, and without waiving any of Sunoco's rights to evict you and re-enter the Premises, which rights shall be continuing and remain in full force and effect from and after the end of this Lease, if you remain in possession of the Premises for whatever reason, other than by virtue of a separate agreement in writing signed by Sunoco, then Sunoco may elect to treat you as a tenant-at-will of the Premises.
(E) If you lease the Premises from Sunoco and the APlus Franchise Agreement ONLY is terminated but the Premises Lease and Motor Fuel Supply Agreements remain in effect, your obligations under these agreements shall continue and you shall remain obligated to pay to Sunoco as additional rent, and not as a penalty, a Store Facilities Rent.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
Based on the 2024 Aplus Franchise Disclosure Document, the circumstances under which a franchisee would be responsible for Sunoco's attorney's fees related to regaining possession of the premises after lease termination or expiration are not explicitly detailed. While the document outlines various scenarios related to lease obligations, additional charges for failure to meet obligations, and conditions for termination, it does not specifically address the payment of attorney's fees in the event of judicial proceedings for possession.
However, the Aplus FDD does mention that if a franchisee fails to perform their obligations under the lease, Sunoco may perform those obligations and the costs would be deemed additional charges due within five days of demand. It also states that costs incurred by Sunoco for restoration of the premises and for removal, storage, and disposition of the franchisee's property left on the premises shall be borne by the franchisee and paid to Sunoco.
Therefore, a prospective Aplus franchisee should clarify with Sunoco the specific conditions under which they would be responsible for Sunoco's legal fees, particularly in cases of eviction or failure to vacate the premises after the lease term. Understanding these potential costs is crucial for assessing the overall financial risk of the franchise.