What does acceptance of a late charge by the Sublessor NOT constitute for a Bens Soft Pretzels subtenant?

According to Bens Soft Pretzels's 2025 Franchise Disclosure Document, the acceptance of a late charge by the Sublessor does not constitute a waiver of the subtenant's default regarding the overdue amount. This means that even if Bens Soft Pretzels, as the Sublessor, accepts a late payment fee from the subtenant, they still retain the right to pursue other remedies for the original default.

This provision protects Bens Soft Pretzels by ensuring they can still enforce the terms of the sublease agreement, even after accepting a late payment. For a prospective franchisee, this highlights the importance of making timely payments. Failure to do so can result in late charges and potential further action from Bens Soft Pretzels, regardless of whether the late charge is paid.

Furthermore, the clause states that accepting a late charge does not prevent Bens Soft Pretzels from exercising any other rights and remedies available to them under the sublease. These remedies could include actions such as demanding immediate payment, initiating eviction proceedings, or terminating the sublease agreement, depending on the specific terms outlined in the document. Therefore, franchisees should be aware that paying a late charge only addresses the immediate penalty for late payment but does not resolve the underlying breach of contract.