What is the definition of 'Default' in the context of the lease agreement for a Better Blend franchise?

According to the 2024 Better Blend Franchise Disclosure Document (FDD), a 'Default' in the context of the lease agreement refers to a written notice of default given to the tenant (franchisee) by the landlord. This triggers certain rights for Better Blend, the franchisor.

Specifically, the landlord is required to provide Better Blend with copies of any written notice of default given to the franchisee. Better Blend then has the option, but not the obligation, to cure the default if the franchisee fails to do so. This cure period extends to 10 days after the expiration of the period originally provided to the franchisee to remedy the default.

This provision is significant for prospective Better Blend franchisees as it provides a safety net. If a franchisee is unable to meet their lease obligations, Better Blend has the opportunity to step in and cure the default, potentially preventing a lease termination and business closure. Furthermore, if the lease is terminated due to the franchisee's default, Better Blend has the option to enter into a new lease with the landlord under the same terms, providing an avenue to maintain the location for another franchisee or for the company itself.