Under the Crave Sublease agreement, does the term 'Sublessee' include any assignee of the Sublessee?

According to Crave's 2025 Franchise Disclosure Document, the term 'Sublessee' in the Sublease agreement includes any assignee of the Sublessee. This means that if the original Sublessee assigns their rights and obligations under the Sublease to another party, that new party will also be considered a Sublessee under the terms of the agreement.

This definition has important implications for the guarantor of the Sublease. The guarantor is responsible for ensuring that the Sublessee fulfills all obligations under the Sublease, including the payment of rent and other charges. Because the definition of 'Sublessee' includes any assignee, the guarantor's obligations extend to any party to whom the original Sublessee assigns the Sublease. The guarantor remains liable even if the Sublease is amended, regardless of whether the guarantor consents to or is even aware of the amendment.

For a prospective Crave franchisee, this clause highlights the importance of carefully considering the implications of the Sublease agreement and the guarantee. Before signing the guarantee, potential franchisees should fully understand the scope of their obligations and the potential risks involved, especially if they anticipate the possibility of assigning the Sublease in the future. It would be prudent to seek legal counsel to review these documents and fully understand the liabilities.