What is the purpose of the 'Acceptance and Assumption of Obligations Agreement' for a Byrider franchise, as outlined in Exhibit F?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
The following agreements are attached as exhibits to this Disclosure Document:
- Franchise Agreement -- Exhibit B a.
- Traditional Area Development Agreement -- Exhibit C-1 b.
- Ultra Area Development Agreement -- Exhibit C-2 C.
- Acceptance and Assumption of Obligations Agreement -- Exhibit F d.
- Renewal Addendum Exhibit I e.
- Traditional and Legacy Royalty Fee Addendum Exhibit J g. h.
- Veteran Discount Addendum Exhibit K
- State-Specific Riders to Franchise Agreement and/or Area Development i. Agreement – Exhibit L
Source: Item 22 — Contracts (FDD pages 87–88)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, Exhibit F lists the 'Acceptance and Assumption of Obligations Agreement' as one of the agreements attached to the document. However, the document excerpts provided do not contain the actual agreement or a description of its purpose.
Instead, Exhibit F is followed by a 'Required Lease Addendum'. This addendum outlines the relationship between the landlord, the tenant (franchisee), and Byrider. It ensures that Byrider can take over the lease under certain conditions, such as the franchisee's breach of the Franchise Agreement. The addendum also requires the landlord to acknowledge Byrider's rights to the Byrider trademarks and the franchisee's obligations under the Franchise Agreement.
Because the actual 'Acceptance and Assumption of Obligations Agreement' is not included, a prospective franchisee should ask Byrider for a full copy of Exhibit F. This will allow them to understand the specific obligations they would be assuming and the circumstances under which this agreement would come into effect.