What is the Body20 franchisee's obligation regarding the Site Lease if they or their affiliate leases the site?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
If you or your affiliate leases the site, unless we waive the requirement in writing, you must arrange for the execution of the Lease Rider in the form that is attached as Appendix D to the Franchise Agreement (the Franchise Agreement is attached as Exhibit A of this Disclosure Document) by you and your landlord .
Our review of the Site lease or sublease (the "Site Lease") is for our own benefit only and is not intended to supplement or replace a review by your attorney.
We may require you to engage an attorney to review your Site Lease or purchase agreement for the Site that we have accepted and to supply us with reasonable documentation relating to that review, including a lease abstract and confirmation that the terms in the agreement reflect the terms in any letter of intent between you and the third-party seller or lessor.
You must secure a site that we have accepted by signing a Site Lease or purchase agreement within 90 days after the effective date of your Franchise Agreement (the "Site Acquisition Deadline").
We may extend the Site Acquisition Deadline by up to 90 days in our sole discretion, and we may require you to execute a general release as a condition of our agreeing to grant such extension.
If we have accepted a site for your Studio, and you are unable or unwilling to acquire such site or an alternative site that we accept by the Site Acquisition Deadline, we may terminate the Franchise Agreement. (Franchise Agreement – Section 4.3)
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 38–49)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, if a franchisee or their affiliate leases the site for their Body20 studio, they must ensure that a specific Lease Rider is executed by both the franchisee and the landlord. This requirement can be waived by Body20 in writing. The Lease Rider is included as Appendix D in the Franchise Agreement, which itself is Exhibit A of the FDD.
Body20's review of the Site Lease is solely for its own benefit and doesn't substitute the franchisee's need for their own attorney to review the lease. Body20 may also require the franchisee to hire an attorney to review the Site Lease or purchase agreement and provide documentation of this review, including a lease abstract and confirmation that the terms match any letter of intent.
The franchisee is required to secure an accepted site by signing a Site Lease or purchase agreement within 90 days from the Franchise Agreement's effective date, referred to as the "Site Acquisition Deadline." Body20 has the option to extend this deadline by up to 90 days, potentially requiring the franchisee to sign a general release as a condition for the extension. Failure to acquire a site by the Site Acquisition Deadline may result in Body20 terminating the Franchise Agreement.