What does the Disclosure Acknowledgement Statement say about the developer's responsibility for negotiating lease terms for a Brueggers Bagels location?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
You acknowledge that you will independently evaluate and investigate the proposed site(s) for each Bruegger's and the lease or purchase agreement for the site(s).
You acknowledge that you bear primary responsibility for selecting the site(s) and negotiating the terms and conditions of your lease(s), sublease(s) or purchase agreement(s) for the site(s).
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, the Disclosure Acknowledgement Statement emphasizes the franchisee's independent responsibility in site selection and lease negotiations. Specifically, it states that the franchisee will independently evaluate and investigate potential sites for each Brueggers Bagels restaurant, including the lease or purchase agreement.
The document makes it clear that the franchisee bears the primary responsibility for selecting the site and negotiating the terms and conditions of their leases, subleases, or purchase agreements. This acknowledgement is a formal declaration that the franchisee understands and accepts this critical aspect of establishing a Brueggers Bagels franchise.
This means that Brueggers Bagels franchisees cannot rely on the franchisor to handle these negotiations. Franchisees must conduct their own due diligence and seek professional advice as needed to secure favorable lease terms. This is a common practice in franchising, as the specific location and lease terms can significantly impact the profitability and success of the franchise. While Brueggers Bagels provides basic drawings and specifications, the onus is on the franchisee to ensure the site and lease meet their business needs.