Can Apricot Lane charge the franchisee for costs incurred during the relocation of the Franchised Business?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
of FRANCHISOR's obligations pertaining to site selection, lease negotiations, construction or other pre-opening obligations under this Agreement. Initial_______
F. Relocation of Franchised Business During Term
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- FRANCHISEE may operate the Franchised Business only at the location specified in Section 1.B above or at the location approved according to Exhibit A to this Agreement. FRANCHISEE may relocate the Franchised Business within its Territory only after notifying FRANCHISOR of the proposed new location and the reason for the change, and submitting the proposed location and lease for approval in accordance with FRANCHISOR's then-current standards, and securing FRANCHISOR's written approval, which shall not be unreasonably withheld. Any such relocation shall be at FRANCHISEE's sole expense and FRANCHISOR shall have the right to charge FRANCHISEE for any costs incurred by FRANCHISOR, and a reasonable fee for its services, in connection with any such relocation of the Franchised Business. If the lease for the site of the Franchised Business expires or terminates without fault of FRANCHISEE, or if the site is destroyed, condemned or otherwise rendered unusable, and FRANCHISEE is unwilling or unable to relocate the franchise, FRANCHISOR will not be required to refund any fees or costs paid to FRANCHISOR.
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- If FRANCHISEE relocates the Franchised Business, the FRANCHISEE shall:
- a. Conform the new store location to FRANCHISOR's then-current standards for store design;
- b. Close the old location simultaneously with the opening of the new location so that only one Specialty Store is open and operating under this Agreement within the Territory at any time; and
- c. Remove from and around the old store location and obliterate any visible indicia of all signs, graphics and advertising materials displaying the Designated Mark and other na
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, a franchisee may be responsible for certain costs if they relocate their franchise. The franchisee must first notify Apricot Lane of the proposed new location and the reason for the change, and submit the proposed location and lease for approval based on Apricot Lane's standards. Apricot Lane's written approval must be secured, and will not be unreasonably withheld.
The FDD states that any relocation will be at the franchisee's sole expense. Furthermore, Apricot Lane has the right to charge the franchisee for any costs it incurs, along with a reasonable fee for its services, related to the relocation.
However, if the lease expires or terminates without fault of the franchisee, or if the site is destroyed, condemned, or otherwise rendered unusable, and the franchisee is unwilling or unable to relocate, Apricot Lane is not required to refund any fees or costs paid to them. The franchisee is also responsible for conforming the new store to Apricot Lane's current design standards, closing the old location when the new one opens, and removing all Apricot Lane branding from the old location within seven business days of opening the new location.