factual

Does the lease need to specify that the premises will only be used for the operation of an Aw restaurant?

Aw Franchise · 2025 FDD

Answer from 2025 FDD Document

Agreement.

  • 4.2 Lease of Premises. Any lease or sublease of the Premises must be approved by us before it is executed by you and we can require that certain terms and provisions be included in the lease or sublease. At our option, we may require that the lease: (i) have a term, with initial and renewal terms, at least equal to the initial term of this Agreement; (ii) be collaterally assigned to us (with the consent of the lessor, if required), by execution of the Collateral Assignment of Lease attached hereto as Exhibit 3 (the assignment may be exercised only upon your default under the lease or this Agreement or the expiration or termination of this Agreement); (iii) provides that the lessor shall give written notice to us (concurrently with you) of any default by you under the lease, and will give us an additional fifteen (15) days to cure any default not cured by you during the cure period and assign the lease to us if defaults are cured by us; (iv) permits the use on the Premises of all signs required by the us for Papa Ray's Pizza Restaurants, subject to applicable local laws, codes and ordinances; (v) provides that on expiration or termination of your Franchise Agreement, we may enter the leased

premises and remove all signs, sign-faces and other items identifying Marks; (vi) provides that the Premises will only be used for the operation of a Papa Ray's Pizza Restaurant; and (vii) provides that the lessor will not lease other premises in the same shopping center to a competing business.

  • 4.3 Construction Specifications.

Source: Item 22 — CONTRACTS (FDD pages 39–40)

What This Means (2025 FDD)

According to Aw's 2025 Franchise Disclosure Document, the lease for the premises must specify that it will only be used for the operation of a Papa Ray's Pizza Restaurant. Aw must approve any lease or sublease before it is executed by the franchisee, and Aw can require certain terms and provisions to be included in the lease.

Specifically, Aw may require that the lease includes a provision stating that the premises will only be used for operating a Papa Ray's Pizza Restaurant. Additionally, the lease should permit the use of all signs required by Aw, subject to local laws. Upon the termination or expiration of the Franchise Agreement, Aw may enter the leased premises to remove all signs and items identifying the Marks.

Furthermore, Aw's FDD states that franchisees agree that neither the Papa Ray's Pizza Restaurant nor the Premises will be used for any purpose other than the operation of a Papa Ray's Pizza Restaurant in compliance with the Franchise Agreement. This ensures that the location is solely dedicated to the Aw franchise, maintaining brand consistency and preventing any other business activities from taking place at the site.

Disclaimer: This information is extracted from the 2025 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.