Does Better Blend use a standard Rider to Lease Agreement?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
- 1. Definitions. Capitalized terms used but not defined in this Rider have the meanings given in the Agreement.
- 2. Amendments. The Agreement (and any Guaranty Agreement) is amended to comply with the following:
- (1) Restrictive Covenants: Every contract by which Franchisee, any Guarantor, or any other person is restrained from exercising a lawful profession, trade, or business of any kind is subject to NDCC Section 9-08-06.
- (2) Situs of Arbitration Proceedings: Franchisee and any Guarantor are not required to agree to the arbitration of disputes at a location that is remote from the site of Franchisee's business.
- (3) Restrictions on Forum: Franchisee and any Guarantor are not required to consent to the jurisdiction of courts outside of North Dakota.
- (4) Liquidated Damages and Termination Penalties: Franchisee is not required to consent to liquidated damages or termination penalties.
- (5) Applicable Laws: The Agreement (and any Guaranty Agreement) is governed by the laws of the State of North Dakota.
- (6) Waiver of Trial by Jury: Franchisee and any Guarantor do not waive a trial by jury.
- (7) Waiver of Exemplary and Punitive Damages: The parties do not waive exemplary and punitive damages.
- (8) General Release: Franchisee and any Guarantor are not required to sign a general release upon renewal of the Agreement.
- (9) Limitation of Claims: Franchisee is not required to consent to a limitation of claims. The statute of limitations under North Dakota law applies.
- (10) Enforcement of Agreement: The prevailing party in any enforcement action is entitled to recover all costs and expenses including attorney's fees.
- 3. Effective Date. This Rider is effective as of the Effective Date.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
Based on the 2024 Franchise Disclosure Document, Better Blend does not appear to have a standard Rider to Lease Agreement. The document includes several state-specific riders to the franchise agreement itself, such as for Ohio, Rhode Island, Washington, Maryland, Minnesota, Illinois, and New York. These riders primarily address legal considerations specific to those states, like waivers, jurisdiction, and compliance with state franchise laws.
Item 22 discusses various contracts but does not mention a standard lease agreement rider. Instead, it focuses on amendments and addenda to the franchise agreement to comply with specific state laws. For example, the North Dakota Rider includes stipulations about restrictive covenants, arbitration proceedings, and limitations on damages.
While the FDD does not include a standard Rider to Lease Agreement, Section 7.16 mentions that if a franchisee leases their location, they must comply with the lease terms and make all rent payments when due. This implies that franchisees are responsible for negotiating their leases, and Better Blend does not provide a standard rider to be attached to lease agreements. A prospective franchisee should discuss lease negotiation and requirements with Better Blend to understand their responsibilities and any support offered in securing a suitable location.