What is the required action for Beggars Pizza to renew the agreement?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
Throughout the term of the Franchise Agreement and any renewals thereto, Assignor will elect and exercise all options to extend the term of or renew the Lease not less than thirty (30) days prior to the last day that the option must be exercised, unless Assignee otherwise agrees in writing. If Assignee does not otherwise agree in writing, and upon failure of Assignor to so elect to extend or renew the Lease as aforesaid, Assignor hereby appoints Assignee as Assignor's true and lawful attorney-infact to exercise such extension or renewal options in the name, place, and stead of Assignor for the purpose of effecting such extension or renewal.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, throughout the term of the Franchise Agreement and any renewals, the Assignor (likely the franchisee in this context) must elect and exercise all options to extend or renew the lease. This action must be taken not less than thirty (30) days before the last day that the option must be exercised.
If the Assignor fails to elect to extend or renew the lease and Beggars Pizza does not agree in writing to waive this requirement, Beggars Pizza is appointed as the Assignor's attorney-in-fact. This appointment allows Beggars Pizza to exercise such extension or renewal options in the name, place, and stead of the Assignor for the purpose of effecting such extension or renewal.
This clause ensures that the location for the Beggars Pizza restaurant remains secured, as the lease is critical for business operations. By requiring the franchisee to proactively renew the lease or granting Beggars Pizza the power to do so, the franchise protects its interest in maintaining the restaurant's location. The franchisee should be aware of these requirements and deadlines to avoid any potential loss of control over the lease renewal process.