factual

Under what condition might Auntie Annes require me to pay a lease renewal fee?

Auntie_Annes Franchise · 2024 FDD

Answer from 2024 FDD Document

If you renew a Lease or a Lease is extended by the landlord for a period of 12 months or more, we may require you to pay us our then-current lease renewal fee.

Source: Item 22 — CONTRACTS (FDD page 106)

What This Means (2024 FDD)

According to Auntie Annes's 2024 Franchise Disclosure Document, if a franchisee renews their lease, or if the lease is extended by the landlord, for a period of 12 months or more, Auntie Annes may require the franchisee to pay their then-current lease renewal fee.

Before executing any modification, amendment, or renewal of the Site Agreement, the franchisee must submit a copy to Auntie Annes for review and approval at least 10 days before the proposed effective date. Auntie Annes's review will ensure compliance with the terms of the Franchise Agreement. Approval may be conditional upon including terms acceptable to Auntie Annes in the Site Agreement, including preferred lease terms.

If the Site Agreement Change is approved and signed, the franchisee must provide Auntie Annes with a copy within 15 days of execution. Failure to provide the modified or renewed Site Agreement on time may result in a Lease Documentation Late Fee. This ensures Auntie Annes maintains oversight of the lease terms and can enforce compliance with their standards.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.