According to the Carls Jr. Lease Addendum, what is the definition of 'Premises'?

According to the 2025 Carls Jr. Franchise Disclosure Document, the Lease Addendum defines 'Premises' as certain real property that the Landlord will lease or has leased to the Tenant. This real property will be used for the operation of a franchised Carls Jr. Restaurant.

This definition is important because it establishes the physical location where the franchisee will conduct their Carls Jr. business. The Lease Addendum modifies the original lease agreement between the landlord and the tenant (franchisee) to incorporate provisions required by Carls Jr. The effectiveness of the lease is contingent upon the franchisee executing the Franchise Agreement with Carls Jr. within 30 days of the addendum.

Carls Jr. also has specific rights regarding the premises. The landlord consents to the franchisee's use of proprietary signs, distinctive designs, colors, layouts, and trademarks prescribed by Carls Jr. If the lease expires or terminates early, the landlord consents to the franchisee removing these items, provided the franchisee repairs any damage caused by the removal. Both the landlord and tenant must provide Carls Jr. with copies of all amendments, assignments, default notices, option and refusal rights notices, and other relevant documents pertaining to the lease and the premises.

Carls Jr. has the right to enter the premises to make modifications or alterations necessary to protect the Carl's Jr. Restaurant System and Proprietary Marks, and to cure any tenant default under the lease. However, the franchisee, not Carls Jr., is solely responsible for all obligations, debts, and payments under the lease. After the lease or franchise agreement expires or terminates, the franchisee must make alterations to distinguish the premises from a Carls Jr. restaurant, including removing all Proprietary Marks. If the franchisee fails to do so, Carls Jr. has the right to make these alterations.