To what document is the Churchs Chicken Sublease Agreement subject and subordinate?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, Sublessor is the Tenant of a certain leased property described as Church's Texas Chicken Unit No. located at (the "Premises") pursuant to that certain Master Lease Agreement dated , as amended and assigned (collectively, the "Master Lease") between [limited liability company, corporation, etc.] (the "Master Landlord"), as Landlord, and Sublessor, as Tenant (a copy of the Master Lease is attached as Exhibit "A" and reference made a part hereof), it being understood and agreed that the Master Lease and any current or future amendments thereto shall automatically become a part hereof this reference
Source: Item 23 — RECEIPT (FDD pages 68–406)
What This Means (2025 FDD)
According to the 2025 Churchs Chicken Franchise Disclosure Document, the Sublease Agreement is subject and subordinate to the Master Lease Agreement. The Master Lease Agreement is between the Master Landlord and Cajun Realty LLC, the Sublessor. The Sublease Agreement incorporates the Master Lease and any current or future amendments to it.
For a potential Churchs Chicken franchisee, this means that their rights and obligations under the Sublease Agreement are directly tied to the terms of the Master Lease. Any changes or amendments to the Master Lease will automatically affect the Sublease Agreement. Therefore, it is crucial for the franchisee to understand the terms of the Master Lease in addition to the Sublease Agreement.
This arrangement is typical in franchising when the franchisor (or an affiliate) leases the property from a landlord and then subleases it to the franchisee. It allows Churchs Chicken to maintain some control over the location and ensure that franchisees comply with the overall lease terms. However, it also means that the franchisee's tenure at the location is dependent on the Master Lease remaining in effect.