What happens if a Checkersrallys franchisee's lease or sublease for the Franchised Restaurant is cancelled or terminated?

According to Checkersrallys's 2025 Franchise Disclosure Document, if a franchisee's lease or sublease for the Franchised Restaurant is cancelled or terminated, Checkersrallys has the right to terminate the Franchise Agreement, effective immediately upon delivering a termination notice to the franchisee.

Additionally, the franchise addendum to lease agreement contains provisions that address the relationship between the landlord, franchisee (tenant), and Checkersrallys. The landlord agrees that the expiration or termination of the Franchise Agreement constitutes a default under the lease, giving Checkersrallys the right, but not the obligation, to cure the default by becoming the new lessee or sublessee. The landlord also agrees to give Checkersrallys the first right of refusal to lease the premises upon the termination or expiration of the lease.

Furthermore, Checkersrallys has the right to enter the premises to make modifications to protect its franchise system and intellectual property, without being guilty of trespass. Upon termination or expiration of the Franchise Agreement, Checkersrallys can remove trade fixtures and signs bearing its trademarks, and the landlord must relinquish any liens or ownership interests in tangible property bearing Checkersrallys's trademarks. If Checkersrallys takes over the lease, it has the right to assign or sublease the premises to another entity or Checkersrallys franchisee, subject to the landlord's consent, which cannot be unreasonably withheld.