What is the Cicis franchisor's obligation to cure any breach of the lease?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon Franchisor's receipt of written notice of Franchisee's breach of the Lease, Franchisor, after written notice to Franchisee and Landlord, may (but shall not be obligated) elect to cure any breach of the Lease.
In the event Franchisor elects to cure or Franchisor notifies Landlord that the
Franchise Agreement has been terminated, then Franchisor, at its sole election, may take one or all of the following actions:
(a) Remove and evict Franchisee from the Premises, after obtaining, Landlord's assignment of Landlord's rights under the Lease for the eviction and removal of the Tenant from the Premises and Landlord will cooperate with Franchisor to pursue such action to a conclusion.
(b) Perform the terms of the Lease on behalf of the Tenant (notwithstanding any removal or eviction of Tenant) for a period not to exceed six months from the first date of any cure by Franchisor for which Franchisor will remain liable, without assuming the Lease; or
(c) At any time within or at the conclusion of such six-month period, assume the Lease for the remainder of the current term, together with the right to exercise any applicable renewal options.
In such event, Landlord and Franchisor will enter into a commercially reasonable agreement to document such assumption.
Franchisor is not a party to the Lease and will have no liability under the Lease unless the Lease is assigned to, and assumed by, Franchisor as herein provided.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the franchisor has no obligation to cure any breach of the lease. However, upon receiving written notice of the franchisee's breach of the lease, Cicis has the option to cure the breach, but is not required to do so. Cicis must provide written notice to both the franchisee and the landlord if it elects to cure any breach.
If Cicis chooses to cure a breach or notifies the landlord that the Franchise Agreement has been terminated, Cicis has the option to remove the franchisee from the premises after obtaining the landlord's assignment of rights under the lease for eviction. The landlord is expected to cooperate with Cicis in pursuing such action. Cicis can also perform the terms of the lease on behalf of the tenant for up to six months from the date of the first cure, without assuming the lease itself.
At any point during or at the end of the six-month period, Cicis can choose to assume the lease for the remainder of its term, including any renewal options. In this case, the landlord and Cicis will enter into a commercially reasonable agreement to document the assumption. It is important to note that Cicis is not a party to the lease and will not have any liability under it unless the lease is assigned to and assumed by Cicis as described in the FDD.