Does Chocolate Fish Coffee assume any liability with respect to the leased premises by executing the Rider?

According to the 2024 Chocolate Fish Coffee Franchise Disclosure Document, by executing the Rider, Chocolate Fish Coffee does not assume liability with respect to the leased premises or any obligation as the tenant under the lease. However, if the Franchise Agreement or the Lease is terminated, or the tenant's right of possession of the leased premises is terminated, Chocolate Fish Coffee or its designee has the right to enter the leased premises to remove signs and other materials bearing Chocolate Fish Coffee's brand name, trademarks, and commercial symbols.

This means that while Chocolate Fish Coffee is not generally liable for the lease obligations of its franchisees, it retains the right to access the premises to remove its branding in the event of a termination. This protects Chocolate Fish Coffee's brand identity and ensures that its trademarks are not misused or displayed at locations that are no longer authorized to operate as Chocolate Fish Coffee franchises.

However, Chocolate Fish Coffee will be liable to the landlord for any damage that Chocolate Fish Coffee or its designee causes by such removal. This provision ensures that while Chocolate Fish Coffee can protect its brand by removing its signage and materials, it must do so responsibly and bear the costs of any damage caused during the removal process. This is a standard practice in franchising, as franchisors typically want to maintain control over their brand image while minimizing their direct liability for franchisees' lease obligations.