What sections of the Azal Coffee Franchise Agreement are amended by the addendum?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
D. Initial Franchise Fee; Transfer Fee . You are not required to pay the initial franchise fee specified in Section 4.1 of the Franchise Agreement. In lieu of the initial franchise fee, you (or the Seller) must pay a transfer fee in the amount of $ The transfer fee is payable on or before the signing of this Addendum.
E. Services Provided to You . Section 5 of the Franchise Agreement is amended as follows: (1) Section 5.5 is deleted. (1) Section 5.5 is deleted. (2) The first sentence of Section 5.8 is deleted.
F. Location Approval and Development. Except as provided in Section C of this Addendum, we acknowledge that, for purposes of Sections 6.1 and 6.4 of the Franchise
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, the addendum modifies specific sections of the Franchise Agreement.
Section 4.1 regarding the initial franchise fee is amended, stating that a transferring franchisee is not required to pay the initial franchise fee. Instead, either the franchisee or the seller must pay a transfer fee, the amount of which is not specified in this excerpt, on or before signing the addendum.
Additionally, Section 5 of the Franchise Agreement, concerning services provided to the franchisee, is amended. Specifically, Section 5.5 is deleted in its entirety, and the first sentence of Section 5.8 is also removed. Furthermore, Sections 6.1 and 6.4 are acknowledged for location approval and development, with exceptions noted in Section C of the addendum.