What is the definition of 'Institutional Lender' in the context of the Churchs Chicken Sublease?

According to Churchs Chicken's 2025 Franchise Disclosure Document, an 'Institutional Lender' is specifically defined within the context of the sublease agreement. This definition is important because it clarifies which types of financial institutions qualify for certain considerations or rights related to the subleased property.

Specifically, an Institutional Lender includes a commercial bank, a savings bank, a trust company, or an insurance company. The definition also extends to any investment fund, investment company, finance company, or other entity whose primary business involves extending credit or buying loans. Furthermore, it encompasses pension, retirement, or welfare funds, as well as other nonprofit organizations, provided that the investment policy and financial condition of these funds or organizations are supervised by a state agency responsible for overseeing banks or insurance companies in the state where the premises are located.

This definition ensures that only recognized and regulated financial entities are considered Institutional Lenders, which likely impacts the conditions under which the landlord's interest in the property can be mortgaged or transferred. For a prospective Churchs Chicken franchisee, understanding this definition is crucial, as it may affect their rights and obligations under the sublease if the landlord's property is subject to a mortgage held by such an institution.