factual

What must a Byrider franchisee do if the landlord is an affiliate of the franchisee?

Byrider Franchise · 2025 FDD

Answer from 2025 FDD Document

If the landlord is an affiliate of Franchisee, Franchisee must cause the landlord to execute the affiliated entity joinder attached as Exhibit G hereto.

Source: Item 23 — Receipts (FDD pages 88–335)

What This Means (2025 FDD)

According to Byrider's 2025 Franchise Disclosure Document, if a Byrider franchisee's landlord is an affiliate of the franchisee, the franchisee must ensure that the landlord executes the affiliated entity joinder, which is attached as Exhibit G to the FDD. This requirement ensures that Byrider has recourse and legal standing with the landlord, even if the landlord is closely related to the franchisee.

This provision is important because it protects Byrider's interests in the event of a dispute or termination. By having the affiliated landlord sign a joinder, Byrider can enforce the terms of the lease agreement directly against the landlord, rather than having to navigate the complexities of dealing with a related party. This can be particularly relevant if the franchisee defaults on the lease or attempts to transfer the franchise to another party without Byrider's consent.

For a prospective Byrider franchisee, this means that if they plan to lease the business location from an affiliated entity, they must factor in the additional step of having the landlord execute the affiliated entity joinder. This may require additional legal review and negotiation to ensure that all parties are comfortable with the terms of the joinder. Failure to comply with this requirement could potentially delay or jeopardize the approval of the lease agreement and the opening of the franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.