Must consent under the Chocolate Bash franchise agreement be in writing?
Chocolate_Bash Franchise · 2024 FDDAnswer from 2024 FDD Document
---------------|---------------------------------------------| | Notice Address: | Notice Address: 5820 Casson Drive, Yorba Linda CA 92886 Telephone: 714-582-9166 | | Telephone: | | | Tenant: | | | Leased Premises: | |
-
- Use. Tenant is a franchisee of Franchisor. The Leased Premises shall be used only for the operation of a Chocolate Bash business (or any name authorized by Franchisor).
-
- Notice of Default and Opportunity to Cure. Landlord shall provide Franchisor with copies of any written notice of default ("Default") given to Tenant under the Lease, and Landlord grants to Franchisor the option (but not the obligation) to cure any Default under the Lease (should Tenant fail to do so) within 10 days after the expiration of the period in which Tenant may cure the Default.
-
- Termination of Lease. Landlord shall copy Franchisor on any notice of termination of the Lease. If Landlord terminates the Lease for Tenant's Default, Franchisor shall have the option to enter into a new Lease with Landlord on the same terms and conditions as the terminated Lease. To exercise this option, Franchisor must notify Landlord within 15 days after Franchisor receives notice of the termination of the Lease.
-
- Termination of Franchise Agreement. If the Franchise Agreement between Franchisor and Tenant is terminated during the term of the Lease, then upon the written request of Franchisor, Tenant shall assign the Lease to Franchisor. Landlord hereby consents to the assignment of the Lease to Franchisor.
-
- Assignment and Subletting. Notwithstanding any provision of the Lease to the contrary, Tenant shall have the right to assign or sublet the Lease to Franchisor, provided that no such assignment or sublease shall relieve Tenant or any guarantor of liability under the Lease. If Franchisor becomes the lessee of the Lease Premises, then Franchisor shall have the right to assign or sublease its lease to a franchisee of the Chocolate Bash brand.
Source: Item 22 — CONTRACTS (FDD pages 38–39)
What This Means (2024 FDD)
According to the 2024 Chocolate Bash Franchise Disclosure Document, several sections require written consent or notification. For example, the landlord must provide Chocolate Bash Franchising with copies of any written notice of default given to the tenant under the lease. If the Franchise Agreement between Chocolate Bash Franchising and the tenant is terminated during the term of the lease, then upon the written request of Chocolate Bash Franchising, the tenant must assign the lease to Chocolate Bash Franchising.
Additionally, the guarantor must not use any confidential information in any business or manner not specifically authorized or approved in writing by Chocolate Bash Franchising. If the Franchisee wants to change any information on Attachment 1, they must notify CB Franchising within 10 days.
These stipulations ensure that Chocolate Bash maintains control over its brand and standards, and that franchisees and related parties are held accountable through documented agreements and notifications. A prospective franchisee should carefully review all sections of the Franchise Agreement to understand when written consent or notification is required, as failure to comply could result in breaches of contract.