What rights does Beem Light Sauna have if a franchisee defaults on their obligations?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Company will have the right, without being guilty of trespass or any other crime or tort, to enter the Premises at any time or from time to time (i) to make any modification or alteration it considers necessary to protect the beem® Light Sauna system and marks, (ii) to cure any default under the Franchise Agreement or under the Lease, or (iii) to remove the distinctive elements of the beem® Light Sauna trade dress upon the Franchise Agreement's expiration or termination. Neither Company nor Landlord will be responsible to Franchisee for any damages Franchisee might sustain as a result of action Company takes in accordance with this provision. Company will repair or reimburse Landlord for the cost of any damage to the Premises' walls, floor or ceiling that result from Company's removal of trade dress items and other property from the Premises.
-
- Franchisee will be permitted to assign the Lease to Company or its designee upon the expiration or termination of the Franchise Agreement. Landlord consents to such an assignment and agrees not to impose any assignment fee or similar change, or to increase or accelerate rent under the Lease, in connection with such an assignment.
-
- If Franchisee assigns the Lease to Company or its designee in accordance with the preceding paragraph, the assignee must assume all obligations of Franchisee under the Lease from and after the date of assignment, but will have no obligation to pay any delinquent rent or to cure any other default under the Lease that occurred or existed prior to the date of the assignment.
-
- Franchisee may not assign the Lease or sublet the Premises without Company's prior written consent, and Landlord will not consent to an assignment or subletting by Franchisee without first verifying that Company has given its written consent to Franchisee's proposed assignment or subletting.
-
- Landlord and Franchisee will not amend or modify the Lease in any manner that could materially affect any of the provisions or requirements of this Lease Rider without Company's prior written consent.
-
- The provisions of this Lease Rider will supersede and control any conflicting provisions of the Lease.
-
- Landlord acknowledges that Company is not a party to the Lease and will have no liability or responsibility under the Lease unless and until the Lease is assigned to, and assumed by, Company.
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna Franchise Disclosure Document, Beem Franchisor LLC has specific rights regarding the franchisee's lease agreement in the event of a default. Beem Light Sauna has the right to enter the premises to modify or alter it to protect the Beem Light Sauna system and marks, cure any default under the Franchise Agreement or the lease, or remove distinctive elements of the Beem Light Sauna trade dress upon the agreement's expiration or termination. However, Beem Light Sauna is not responsible for any damages the franchisee sustains as a result of these actions, but they will repair or reimburse the landlord for any damage to the premises resulting from the removal of trade dress items.
Additionally, the franchisee is permitted to assign the lease to Beem Light Sauna or its designee upon the expiration or termination of the Franchise Agreement. The landlord consents to such assignment without any fees or changes to the rent. If the lease is assigned to Beem Light Sauna, the assignee must assume all obligations of the franchisee from the date of assignment but is not responsible for any prior delinquent rent or defaults. The franchisee cannot assign the lease or sublet the premises without Beem Light Sauna's prior written consent, and the landlord must verify this consent before agreeing to any assignment or subletting.
Furthermore, the landlord and franchisee cannot amend or modify the lease in a way that materially affects the Lease Rider's provisions without Beem Light Sauna's written consent. The Lease Rider's provisions supersede any conflicting terms in the lease. Beem Light Sauna is not a party to the lease and has no liability unless the lease is assigned to and assumed by them. These stipulations protect Beem Light Sauna's interests and ensure the consistent operation and brand integrity of the franchise.