What franchise agreement covenants must a Bananas Smoothies Frozen Yogurt sublessee perform?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- The Sublessee covenants with the Sublessor to perform as follows:
- (a) Pay rent as aforesaid; and
- (b) Perform and observe all of the covenants on the part of the Sublessor as tenant under the provisions of the Lease and to keep the Sublessor fully and completely indemnified against all actions, claims, expenses and demands in respect to each and every of such covenants; and
- (c) Not assign, sublet or part with possession of all or any part of the Demised Premises without the prior consent in writing of the Sublessor, which consent may be unreasonably withheld, or if granted, may be granted by the Sublessor upon such terms and conditions as the Sublessor may see fit; subject always to the prior consent of the Landlord in accordance with, and subject to, the terms of the Lease; and
- (d) Pay when due all continuing franchise fees and advertising contributions as required by Sublessee's Franchise Agreement; such payments being characterized as additional rent under this Sublease Agreement; and
- (e) Perform all of the covenants contained in the Franchise Agreement.
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, a sublessee entering into a sublease agreement with the sublessor is obligated to fulfill specific covenants. These covenants include paying rent as stipulated in the sublease agreement. The sublessee must also adhere to and observe all the covenants outlined for the sublessor (as the tenant) in the original lease agreement. This involves keeping the sublessor fully indemnified against any actions, claims, expenses, and demands related to these covenants.
Furthermore, the sublessee is prohibited from assigning, subletting, or parting with possession of any part of the premises without obtaining prior written consent from the sublessor. This consent can be withheld at the sublessor's discretion or granted under specific terms and conditions. It's important to note that the sublessee must also secure the landlord's consent, in accordance with the terms of the original lease. The sublessee is also responsible for paying all continuing franchise fees and advertising contributions as required by their Franchise Agreement. These payments are considered additional rent under the Sublease Agreement.
Finally, the sublessee must perform all of the covenants contained within the Franchise Agreement itself. This means the sublessee is directly responsible for upholding all obligations and responsibilities outlined in the Franchise Agreement, ensuring compliance with the Bananas Smoothies Frozen Yogurt franchise system. Failure to meet these obligations can result in default under the sublease agreement.