What is the dependency between the Cicis franchise agreement and the lease agreement?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree not to sign a proposed lease or contract of sale pursuant to which you will acquire possession of the Location without first providing us with a copy of the proposed contract and obtaining our approval.
We will have a reasonable time after we receive the proposed lease or contract of sale to review and approve it.
We will not approve any lease unless a rider to the lease, in substantially the form attached as Attachment C hereto, is attached to the lease and incorporated therein.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the franchise agreement and the lease agreement are closely linked. Before signing a lease or contract to acquire the location, a prospective franchisee must provide Cicis with a copy of the proposed contract for their approval. Cicis will not approve any lease unless a rider, in the form attached as Attachment C, is incorporated into the lease. This indicates that the terms of the lease are subject to Cicis's approval, and the lease must include specific provisions that protect Cicis's interests.
Attachment C to the Franchise Agreement outlines the Lease Rider, which is executed between the landlord and the franchisee. The effectiveness of the lease is contingent upon Cicis's approval of the premises and the form of the lease. Cicis is considered a third-party beneficiary and is entitled to enforce the Lease Rider. The premises can only be used for operating a Cicis restaurant. Cicis has the right to enter the premises to de-identify it as a Cicis restaurant after the lease or franchise agreement terminates.
Furthermore, the Lease Rider specifies that the franchisee may cease operations for up to 60 days for repairs or renovations required by the Franchise Agreement. Cicis also has the right to diminish or extend the tenant's business hours, regardless of any designated shopping center hours. The landlord must provide Cicis with copies of any modifications or amendments to the lease. In case of any conflict between the Lease Rider and the lease, the terms of the Rider will prevail. These stipulations ensure that the franchise agreement and Cicis's brand standards are upheld through the lease terms.