According to the Checkers FDD, what is the subject of the contract referenced in this table?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS FRANCHISE ADDENDUM TO LEASE AGREEMENT (this |
|---|
| "Addendum") is entered into this day of, 20, by and between |
| , a(n) (" Landlord ") and |
| , a(n)(" Tenant ") for the benefit |
| of CHECKERS DRIVE-IN RESTAURANTS, INC., a Delaware corporation |
| (" Franchisor "). |
| WHEREAS, Tenant and Franchisor have executed a Franchise Agreement (the " Franchise Agreement "), pursuant to which Franchisor has granted Tenant the right to establish and operate a [Checkers] Franchised Restaurant at the following location: (the " Premises "); |
| WHEREAS, Tenant and Landlord are entering into a lease agreement (the |
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to the 2025 Checkers FDD, the table references a Franchise Addendum to Lease Agreement. This addendum is an agreement entered into by the Landlord and the Tenant for the benefit of Checkers Drive-In Restaurants, Inc., the Franchisor. The agreement pertains to a lease agreement between the Tenant and Landlord, where the Franchisor has granted the Tenant the right to establish and operate a Checkers Franchised Restaurant at a specific location, referred to as the Premises.
This addendum ensures that the lease agreement aligns with the Franchise Agreement, providing Checkers with certain protections and rights related to the franchisee's restaurant location. It clarifies the relationship between the landlord, the franchisee (tenant), and Checkers, ensuring all parties are aware of their obligations and rights.
For a prospective Checkers franchisee, this means that the lease agreement for their restaurant location will have an addendum that involves Checkers as a party. This addendum likely contains provisions that protect Checkers' interests, such as ensuring the lease terms are compatible with the Franchise Agreement and providing Checkers with certain rights in case of default or termination of the lease. Franchisees should carefully review this addendum with their legal counsel to understand its implications on their lease and franchise obligations.