factual

Is the sublease for a Cd One Price Cleaners franchise subject to the consent of the landlord?

Cd_One_Price_Cleaners Franchise · 2025 FDD

Answer from 2025 FDD Document

THIS SUBLEASE (the "Sublease") is made and entered into as of the day of , 20, by and between [Cleaners Depot affiliate for the CD Store], a limited liability company (the "Sublandlord") and , a (the "Subtenant").
THE PARTIES ENTER INTO THIS SUBLEASE BASED UPON THE FOLLOWING
FACTS, UNDERSTANDINGS AND INTENTIONS:
A.
Pursuant to that certain Lease dated (the "Prime Lease"), a
copy of which is attached hereto as Exhibit A,, (the "Landlord"), leased
to Sublandlord those certain premises (the "Premises") containing approximately
square feet in the building located at (the "Building"), for a term ending
on ("Prime Lease Expiration Date"). The capitalized terms used in this
Sublease shall have the meanings set forth in the Prime Lease (whether or not those terms are
incorporated by reference into this Sublease), unless otherwise defined herein.
B.
Subject to the consent of Landlord, Subtenant desires to sublease from
Sublandlord, and Sublandlord desires to sublease to Subtenant, the Premises containing
approximately rentable square feet, all upon the terms and subject to the conditions
and provisions hereinafter set forth.
C.
Cleaners Depot Franchise, LLC, an affiliate of Sublandlord (the "Franchisor"),
and Subtenant have executed that certain Franchise Agreement (the "Franchise Agreement") of
even date herewith pursuant to which Franchisor has granted to Sublessee the right to operate a
store at the Premises that offers economically-priced, by-the-piece retail dry cleaning services
(the "Store").
NOW, THEREFORE, in consideration of the foregoing and of the mutual covenants
and promises contained herein and other good and valuable consideration, the
receipt and
sufficiency of which are hereby mutually acknowledged, Sublandlord and Subtenant hereby
agree as follows:
1.
Demise; Use. Sublandlord hereby subleases to Subtenant and Subtenant hereby
subleases from Sublandlord the Premises for the term and rental and upon the other terms and
conditions hereinafter set forth, to be used and occupied by Subtenant solely for the purpose of
operating the Store pursuant to the terms of the Franchise Agreement and for no other purposes
whatsoever.
2.
Term. The term of this Sublease (the "Sublease Term") shall commence on the
date hereof (the "Commencement Date") and shall end, unless sooner terminated, on the earlier
of: (a) the date preceding the expiration or earlier termination of the Prime Lease or termination
of Sublandlord's right to possession of the Premises, or (b) the date that the Franchise Agreement

Source: Item 23 — Receipts (FDD pages 72–263)

What This Means (2025 FDD)

According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, the sublease agreement between the Sublandlord (Cleaners Depot affiliate) and the Subtenant (franchisee) is contingent upon the Landlord's consent. Specifically, the document states that the Subtenant desires to sublease from the Sublandlord, and the Sublandlord desires to sublease to the Subtenant, subject to the Landlord's consent. This initial consent is required for the sublease to proceed.

This condition means that a prospective Cd One Price Cleaners franchisee cannot assume the sublease until the Landlord provides explicit consent. The Landlord's approval is a prerequisite for the sublease to be valid and enforceable. This requirement protects the Landlord's interests and ensures they have control over who occupies their property.

Furthermore, the FDD states that the franchisee must submit any lease, renewal, or amendment to Cd One Price Cleaners for written acceptance before execution. Cd One Price Cleaners' acceptance may depend on the franchisee and landlord signing a Rider to Lease and Collateral Assignment. The franchisor may also require that the lease includes terms such as the lessor consenting to the franchisee's use of Proprietary Marks and signage, restricting the use of the leased premises solely to the operation of the Store, and prohibiting the franchisee from subleasing or assigning occupancy rights without the franchisor's prior written consent. This ensures that the franchisor maintains control over the brand and operations at the location.

In addition to the initial consent for the sublease, the Cd One Price Cleaners franchisee is also prohibited from subleasing or assigning any part of their occupancy rights without the franchisor's prior written consent. This provision gives Cd One Price Cleaners further control over the occupancy of the premises and ensures that any subsequent subleasing or assignment is aligned with their interests and standards.

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.