factual

Under what conditions will Bft Franchisor (or its affiliate or designee) expressly assume the Tenant's obligations under the Lease?

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 tenant, who is the franchisee, is solely responsible for all obligations under the lease agreement. However, Bft (or its affiliate or designee) may expressly assume these obligations. For Bft to assume the tenant's obligations, it must be done in writing and signed by an officer of Bft (or its applicable affiliate or designee).

This means that a Bft franchisee is fully responsible for the lease unless Bft provides an explicit written agreement, signed by an authorized officer, stating that Bft will take over the lease obligations. This protects Bft from being automatically liable for the franchisee's lease commitments.

For a prospective franchisee, this highlights the importance of carefully reviewing the lease agreement and understanding their obligations. It also emphasizes the need to obtain any assumption of lease obligations by Bft in writing, with the proper signatures, to ensure it is legally binding. Without this written agreement, the franchisee remains fully liable for the lease, even if Bft is involved in other aspects of the franchise operation.

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.