For the Carls Jr. franchise agreement, what address information is required to be included?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee has not previously provided CJR with a fully-signed copy of its lease or sublease for the Franchised Location, or proof that Franchisee has purchased the real estate for the Franchised Location, Franchisee shall immediately upon execution of this Agreement provide CJR with a copy of the fully-signed lease or sublease, together with the executed Carl's Jr. Lease Addendum in the form attached as Appendix G. For purposes of this Agreement, the effective date of the lease or sublease, or the closing date of the purchase of the real property, shall be the "Property Control Date".
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, if the franchisee has not already provided Carls Jr. with a signed copy of the lease or sublease for the franchised location, or proof that the franchisee has purchased the real estate for the franchised location, the franchisee must provide Carls Jr. with a copy of the fully-signed lease or sublease immediately upon execution of the agreement. This must include the executed Carl's Jr. Lease Addendum. The effective date of the lease or sublease, or the closing date of the purchase of the real property, will be considered the "Property Control Date".
This requirement ensures that Carls Jr. has official documentation of the franchisee's right to occupy and operate the restaurant at the specified location. This is a standard practice in franchising, as the location is a critical component of the franchise agreement. The Lease Addendum likely contains specific clauses required by Carls Jr. to protect its interests and ensure compliance with brand standards.
For a prospective Carls Jr. franchisee, this means that securing the location and lease (or purchasing the property) is a crucial first step. They must be prepared to provide all necessary documentation to Carls Jr. promptly after signing the franchise agreement. Failure to do so could potentially delay the opening of the restaurant or even jeopardize the franchise agreement itself.