For Bonchon, what is required to duly execute the amendment regarding service locations?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
ipt by executing the Receipt form prescribed in the Franchise Disclosure Document and promptly returning the Receipt to us.
- (3) Promptly upon our receipt of your signed Franchise Disclosure Document Receipt, but no sooner than fourteen business days but no later than thirty calendar days after we receive your signed Franchise Disclosure Document Receipt, we will deliver to you the Franchise Agreement. Promptly upon receipt, you must execute the Franchise Agreement and return it, along with the appropriate fees, to us.
If you fail to perform any of the acts or fail to deliver any of the notices required pursuant to the provisions of subsections (2) or (3) above in a timely fashion, this will be a material and incurable breach of this Agreement which, unless we waive the breach, will entitle us to terminate this Agreement immediately on notice to you, with no opportunity to cure.
7.02 Site Selection and Execution of Lease
You agree to use your best efforts to find an acceptable Restaurant Location for each obligation outlined in Section 6.01. You must comply with all our Restaurant specifications, requirements and restrictions. Each Restaurant Location will be subject to our advance written approval, and our determination will be final. We may require you to submit maps, completed checklists, photographs, diagrams of the premises with measurements and other information and materials which we may reasonably require to evaluate your proposed Restaurant Location. We also may visit the proposed Restaurant Location in order to evaluate its suitability. If you request that we visit the proposed Restaurant Location, the first visit will be free of cost, with any subsequent visits costing $500 per day plus the cost of our travel expenses.
You understand that any advice we furnish regarding site selection and our proposal, inspection and/or approval of any proposed site for each of your Restaurant Locations will not constitute, and will not be deemed to constitute, our express or implied representation, warranty, guarantee or any other indication of the prospective profitability, viability or merit of any Restaurant Location.
If you will be leasing the Restaurant Location(s) of your Bonchon Restaurant(s), then promptly following our written approval of each proposed Restaurant Location, you must utilize a real estate broker we approve and obtain a lease or sublease for the Restaurant Location which, unless we otherwise approve the lease in advance, must be accompanied by a rider substantially in the form of Exhibit E of this Agreement. You agree to deliver to us a copy of any proposed lease or sublease for the Restaurant Location and any related documents (collectively, the "Lease") before you execute the Lease. Any Lease will be subject to our advance written approval, which we will not
unreasonably withhold or delay, provided, however, that we expressly reserve the right to disapprove any Lease not accompanied by a rider embracing all of the provisions of Exhibit C. If we do not communicate our approval or disapproval of a proposed Lease to you within twenty business days following our receipt of the proposed Lease, then the Lease will be considered and deemed to be disapproved.
In any Lease, you may not create any obligations or grant any rights against us or our affiliates or agree to any term, condition or covenant which is inconsistent with this Agreement or any related agreement. You agree to timely perform all terms, conditions, covenants and obligations under the Lease. You may not assign, transfer or encumber your Lease or sublet all or any part of the Location without our advance written approval.
You must provide to us a copy of each executed lease with all exhibits, attachments, and addenda before each Due Date of Execution of Lease in Section 6.01.
If you fail to perform any of the acts or fail to deliver any of the notices required pursuant to the provisions of this Section 7 in a timely fashion, this will be a material and incurable breach of this Agreement which, unless we waive the breach, will entitle us to terminate this Agreement immediately on notice to you, with no opportunity to cure.
**8.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
Based on the 2025 Bonchon Franchise Disclosure Document, to secure a restaurant location, a franchisee must exert their best effort to find an acceptable site that meets Bonchon's specifications and restrictions. Bonchon's advance written approval is mandatory for each location, and their decision is final. The franchisee may be required to submit various documents, including maps, checklists, photographs, and diagrams, for evaluation. Bonchon may also visit the proposed site, with subsequent visits costing $500 per day plus travel expenses after the first free visit.
If leasing, the franchisee must use a real estate broker approved by Bonchon and obtain a lease or sublease that includes a rider substantially in the form of Exhibit E of the agreement, unless Bonchon approves the lease in advance. A copy of the proposed lease and related documents must be submitted to Bonchon for advance written approval, which will not be unreasonably withheld, provided the lease includes a rider embracing all provisions of Exhibit C. Failure by Bonchon to communicate approval or disapproval within twenty business days of receiving the proposed lease results in automatic disapproval.
If the landlord withdraws from the lease negotiation, Bonchon assumes responsibility for the architectural fees owed to the Architect of Record (AOR) to date. However, the franchisee is responsible for the AOR's fees if they refuse to personally guarantee the lease or comply with a reasonable request from the landlord, provided the rent is at or below market rate and the total development cost falls within the range listed in Item 7 of the Franchise Disclosure Document. The franchisee must obtain Bonchon’s written approval before relocating a restaurant and pay a relocation fee equal to 25% of the then-current Initial Franchise Fee, plus reimbursing Bonchon for any reasonable costs incurred in considering the relocation request. Time is of the essence in these matters, subject to unavoidable delays or force majeure as outlined in Article 20 of the agreement.