How can the Bhc franchise agreement be modified or changed?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- E.
Conflicts.
In the event of a conflict between the terms of the Lease and the terms set forth in this Addendum, the terms set forth herein shall govern.
In the event of a conflict between notices provided to Landlord by Tenant and Franchisor, the notices of Franchisor shall prevail.
- F.
Miscellaneous.
Any waiver excusing or reducing any obligation imposed by this Addendum shall be in writing and executed by the party who is charged with making the waiver and shall be effective only to the extent specifically allowed in such writing.
The language used in this Addendum shall in all cases be construed simply according to its fair meaning and not strictly for or against any party.
Nothing in this Addendum is intended, nor shall it be deemed, to confer any rights or remedies upon any person or entity not a party hereto.
This Addendum shall be binding upon, and shall inure to the benefit of, the successors, assigns, heirs, and personal representatives of the parties hereto.
This Addendum sets forth the entire agreement with regard to the rights of Franchisor, fully superseding any and all prior agreements or understandings between the parties pertaining to the subject matter of this Addendum.
This Addendum may only be amended by written agreement duly executed by each party.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the franchise agreement can be modified in a few specific ways, primarily through written agreements or during the renewal process. For alterations to the Franchised BHC Restaurant plans, Bhc requires written approval before any leasehold improvements or changes are implemented. Bhc also retains the right to make alterations or modifications to the leasehold improvements they deem necessary. These stipulations ensure that the restaurant's design and setup align with Bhc's standards and operational requirements.
During the renewal of the franchise agreement, Bhc and the franchisee must sign either a Renewal Franchise Agreement or an addendum extending the current agreement. The Renewal Franchise Agreement may contain terms substantially different from the original agreement and will supersede the original agreement upon execution. This allows Bhc to update the terms and conditions based on the current business environment and system standards.
Additionally, franchisees may be required to make physical modifications to their BHC Restaurant to align with current trade dress and system requirements before renewing their franchise agreement. These modifications can include remodeling to accommodate new BHC products. Any waivers or changes to obligations within the addendum must be in writing and executed by the party making the waiver, effective only to the extent specifically allowed in the written agreement. This ensures that any modifications are formally documented and agreed upon by all parties involved, providing clarity and legal protection.
Finally, an addendum to the lease agreement specifies that it may only be amended by a written agreement duly executed by each party. This ensures that any changes to the addendum are formally documented and agreed upon by all parties involved, providing clarity and legal protection.