Does Beyond Juicery Eatery assume any liability with respect to the premises by executing the assignment?
Beyond_Juicery_Eatery Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor shall assume all of Franchisee's rights, options, and obligations under the Lease commencing upon the effective date of the assignment and Franchisor shall have the further right to transfer or assign the Lease to another Beyond Juicery + Eatery franchisee without the need to seek consent from Landlord.
Franchisor shall not be liable to Landlord for anything that arose prior to the effective date of the assignment to Franchisor.
If Franchisor assigns the Lease to another Beyond Juicery + Eatery franchisee, Franchisor shall be released from any further liability under the Lease.
Notwithstanding any assignment of the Lease to Franchisor, Franchisor shall not be subject to any provisions of the Lease that requires continuous operation of a business in the Premises during any period that the Premises is closed for remodeling or while Franchisor is seeking to obtain and train a new franchisee, provided that rent is paid during such period of closure pursuant to the terms of the Lease.
Source: Item 23 — RECEIPTS (FDD pages 60–337)
What This Means (2025 FDD)
According to Beyond Juicery Eatery's 2025 Franchise Disclosure Document, when the franchisor exercises its option to accept assignment of the lease, it assumes certain rights and obligations but also limits its liability. Specifically, Beyond Juicery Eatery assumes all of the franchisee's rights, options, and obligations under the lease starting from the effective date of the assignment. This includes the right to transfer or assign the lease to another Beyond Juicery + Eatery franchisee without needing the landlord's consent.
However, Beyond Juicery Eatery is not liable to the landlord for anything that occurred before the assignment's effective date. Furthermore, if Beyond Juicery Eatery assigns the lease to another franchisee, Beyond Juicery Eatery is released from any further liability under the lease. The document also states that Beyond Juicery Eatery is not subject to lease provisions requiring continuous operation during remodeling or while seeking a new franchisee, as long as rent is paid during such closures.
In practical terms, this means that a Beyond Juicery Eatery franchisee is responsible for any issues or liabilities related to the premises before the assignment date if the franchisor takes over the lease. If Beyond Juicery Eatery later assigns the lease to a new franchisee, Beyond Juicery Eatery is no longer responsible for the lease obligations. This arrangement provides some protection to Beyond Juicery Eatery while still allowing them to maintain control over the location and ensure continued operation of a Beyond Juicery + Eatery restaurant at that site.