In the Azal Coffee Addendum to Lease, what is the document dated the same day as the addendum referred to as?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
| This Addendum to Lease is entered into this day of | , 20 | |
|---|---|---|
| and modifies a Lease Agreement dated the same date (the "Lease") entered in | nto by _ | |
| ("Franchisee") and | ||
| ("Landlord") for premises located at ( | the "Prer | mises"). |
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, the Addendum to Lease modifies a Lease Agreement dated the same day. This Lease Agreement is simply referred to as the "Lease" within the addendum. This addendum is an agreement between the franchisee and the landlord, with the purpose of setting the terms for the premises where the Azal Coffee franchise will operate.
The addendum ensures that the lease aligns with the requirements of the Franchise Agreement between the franchisee and Durar Investment, LLC, which is Azal Coffee's franchisor. It also grants specific rights to the franchisor, such as the option to take over the lease under certain conditions, including the termination or expiration of the Franchise Agreement, the franchisee's default, or abandonment of the premises.
This arrangement is typical in franchising, as it protects the franchisor's interests by ensuring continuity of location and operation, even if the franchisee's business fails. Prospective Azal Coffee franchisees should carefully review the terms of the Addendum to Lease and understand the conditions under which the franchisor can exercise its rights, as well as the franchisee's obligations regarding the premises.