edge_case

Is the Clean Your Dirty Face tenant allowed to use the premises for any other purpose other than a Business?

Clean_Your_Dirty_Face Franchise · 2025 FDD

Answer from 2025 FDD Document

  • Consent to Collateral Assignment to Franchisor; Disclaimer. Landlord acknowledges that Tenant intends to operate a CYDF Facial Bar (a "Business") in the Premises, and that Tenant's rights to operate a Business and to use the CYDF name, trademarks and service marks (the "Marks") are solely pursuant to a franchise agreement ("Franchise Agreement") between Tenant and Mud Franchising, LLC ("Franchisor"). Tenant's operations at the Premises are independently owned and operated. Landlord acknowledges that Tenant alone is responsible for all obligations under the Lease unless and until Franchisor or another franchise expressly, and in writing, assumes such obligations and takes actual possession of the Premises. Notwithstanding any provisions of this Lease to the contrary, Landlord hereby consents, without payment of a fee and without the need for further Landlord consent, to (i) the collateral assignment of Tenant's interest in this Lease to Franchisor to secure Tenant's obligations to Franchisor under the Franchise Agreement, and/or (ii) Franchisor's succeeding to Tenant's interest in the Lease as a result of Franchisor's exercise of rights or remedies under such collateral assignment or as a result of Franchisor's termination of, or exercise of rights or remedies granted in or under, any other agreement between Franchisor and Tenant, and/or (iii) Tenant's, Franchisor's and/or any other franchisee of Franchisor's assignment of the Lease to another franchisee of Franchisor with whom Franchisor has executed its then-standard franchise agreement. Landlord, Tenant and Franchisor agree and acknowledge that simultaneously with such assignment pursuant to the immediately preceding sentence, Franchisor shall be released from all liability under the Lease or otherwise accruing after the date of such assignment (in the event Franchisor is acting as the assignor under such assignment), but neither Tenant nor any other franchisee shall be afforded such release in the event Tenant/such franchisee is the assignor unless otherwise agreed by Landlord. Landlord further agrees that all unexercised renewal or extension rights shall not be terminated in the event of any assignment referenced herein, but shall inure to the benefit of the applicable assignee.
    1. Use of Premises. Tenant shall only use the Premises for purposes of a Business.

Source: Item 22 — CONTRACTS (FDD page 54)

What This Means (2025 FDD)

According to the 2025 Clean Your Dirty Face Franchise Disclosure Document, the tenant is explicitly restricted to using the premises solely for the operation of a Clean Your Dirty Face Facial Bar. The lease agreement specifies that the tenant's rights to operate the business and use the Clean Your Dirty Face trademarks are contingent upon the franchise agreement with Mud Franchising, LLC. This ensures that the location is used only for the intended purpose, maintaining brand consistency and service standards.

This restriction has important implications for a prospective Clean Your Dirty Face franchisee. It prevents the franchisee from diversifying the business operations at the location or subleasing the space for other purposes without the franchisor's consent. This limitation is designed to protect the Clean Your Dirty Face brand and ensure that the premises are used in a manner consistent with the franchise's business model.

The franchisor's control over the use of the premises extends to the point where any modifications or amendments to the lease require their prior written consent. This provision further safeguards the franchisor's interests by preventing unauthorized changes to the lease terms that could impact the operation of the Clean Your Dirty Face Facial Bar. Additionally, the landlord must provide the franchisor with a copy of the fully-executed lease, ensuring transparency and allowing the franchisor to monitor compliance with the lease terms.

Overall, these lease provisions are typical in franchising, as franchisors seek to maintain uniformity and protect their brand. Prospective Clean Your Dirty Face franchisees should carefully review the lease agreement and understand these restrictions before signing, as they will be bound to use the premises exclusively for the Clean Your Dirty Face business.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.