Is the Chocolate Fish Coffee Rider to Lease Agreement included as an exhibit in the disclosure document?

According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, a Rider to Lease Agreement is included as an exhibit. Specifically, Item 8 notes that the franchisee must use reasonable efforts to have their landlord sign Chocolate Fish Coffee's form of Rider to Lease Agreement, which is attached to the disclosure document as Exhibit D. This indicates that the Rider to Lease Agreement is a standard document that Chocolate Fish Coffee requires landlords to agree to, likely to protect the brand's interests and ensure uniformity across locations.

For a prospective Chocolate Fish Coffee franchisee, this means that finding a suitable location involves not only meeting Chocolate Fish Coffee's specifications but also ensuring the landlord is willing to sign the Rider to Lease Agreement. This could potentially complicate the site selection process, as some landlords may be unwilling to agree to the terms outlined in the rider. The franchisee should carefully review Exhibit D and understand its implications before committing to a location.

It is common practice in franchising for franchisors to have specific requirements for real estate and lease agreements. This allows the franchisor to maintain control over the brand's image and ensure that the location is suitable for the business. The Rider to Lease Agreement likely contains provisions related to signage, maintenance, and other aspects of the property that could impact the Chocolate Fish Coffee brand. Franchisees should discuss the Rider to Lease Agreement with a real estate attorney to fully understand their obligations and the landlord's responsibilities.