factual

Under what condition will the Franchisor expressly assume the franchisee's obligations for a Bft franchise?

Bft Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (10) Landlord acknowledges that Tenant's operations at the Premises are independently owned and operated, and that Tenant alone is responsible for all obligations under the Lease, unless and until, Franchisor (or its affiliate or designee) expressly assumes such obligations in writing, signed by an officer of Franchisor (or its applicable affiliate or designee);

Source: Item 23 — RECEIPTS (FDD pages 79–265)

What This Means (2025 FDD)

According to Bft's 2025 Franchise Disclosure Document, the franchisor, or its affiliate or designee, will expressly assume a franchisee's obligations under the lease only if it's done so in writing, signed by an officer of Bft (or its applicable affiliate or designee). This condition is specifically in relation to the lease agreement for the premises of the Bft studio.

This means that a franchisee cannot rely on any verbal agreement or implied understanding that Bft will take over their lease obligations. The assumption of obligations must be explicitly stated in a written document and properly signed by an authorized officer of Bft. This protects both the franchisee and the franchisor by ensuring clarity and preventing misunderstandings about who is responsible for the lease.

For a prospective Bft franchisee, this clause highlights the importance of carefully reviewing the lease agreement and any related addendums. It is crucial to understand that Bft is not automatically responsible for the lease unless they formally agree to assume those obligations in writing. Franchisees should seek legal counsel to review these documents and ensure they are fully aware of their responsibilities and the conditions under which Bft might assume those responsibilities.

This type of clause is fairly standard in franchise agreements, as franchisors typically want to maintain control over their brand and locations without taking on the direct financial obligations of each franchisee's lease. It allows Bft to step in and potentially take over a location if a franchisee defaults or leaves the system, but it also protects Bft from being automatically liable for every franchisee's lease commitments.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.