What property is Boulder Designs Franchising, LLC's lien rights superior to?

According to Boulder Designs' 2025 Franchise Disclosure Document, the landlord's rights to collect on any liens are subordinate and inferior to Boulder Designs Franchising, LLC's lien rights. This applies to all personal property, furnishings, equipment, signs, fixtures, and inventory owned by the tenant (the franchisee) and located on the premises operated by the franchisee under the lease.

In practical terms, this means that if a Boulder Designs franchisee defaults on their lease and both the landlord and Boulder Designs have claims against the franchisee's assets, Boulder Designs has priority over the landlord in recovering its debts from the specified property. This subordination of the landlord's lien protects Boulder Designs' interests in the franchisee's business assets.

This type of clause is relatively common in franchising, as it helps the franchisor protect its brand standards and recover assets if a franchisee fails. However, prospective franchisees should carefully review the lease agreement and understand the implications of this subordination, especially concerning their personal property and business assets.