What written statement is accepted as proof of termination of the Buns On Fire Franchise Agreement?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary contained in this Lease, it is expressly understood and agreed that if the Franchise Agreement dated the day of , 20 between the Lessee and the Franchisor expires or is terminated for any reason whatsoever, the Lessee's rights hereunder shall, at the option of the Franchisor, be transferred and assigned to it.
Said option may be exercised by the Franchisor giving the Lessor notice in writing within thirty (30) days following the expiration or termination of the said Franchise Agreement, such notice to specify, inter alia, the date of such expiration or termination.
The Lessee acknowledges and agrees that the Lessor may rely upon such notice and shall not be required to inquire into the due execution thereof or the accuracy of the statements set forth therein.
It is further agreed that such notice shall, without further act or formality, operate as an effective assignment of the Lessee's right hereunder to the Franchisor and the assumption by the Franchisor of the covenants herein required to be observed or performed by the Lessee.
The Franchisor shall thereafter have the right to assign or sublet the Premises to such person as it may designate, provided that in such event that this clause be contained therein.
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
According to the 2025 Buns On Fire Franchise Disclosure Document, if the Franchise Agreement between the franchisee (Lessee) and Buns On Fire (Franchisor) expires or is terminated for any reason, Buns On Fire has the option to have the rights of the lease transferred and assigned to them.
To exercise this option, Buns On Fire must provide written notice to the Lessor (the landlord) within thirty (30) days following the expiration or termination of the Franchise Agreement. This notice must specify the date of such expiration or termination. The Lessor can rely on this notice without needing to verify its execution or the accuracy of the statements within it.
Upon Buns On Fire providing this notice, it automatically acts as an effective assignment of the Lessee's (franchisee's) rights to Buns On Fire, including the assumption of the obligations outlined in the lease. Buns On Fire then has the right to assign or sublet the premises to another party, provided that the assignment or sublease includes a clause similar to the one described above.