What written notification is required from the Assignor to the Assignee regarding lease defaults for a Crave franchise?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
The undersigned Lessor under the Lease:
- (a) Agrees to notify Assignee in writing of and upon Assignor's failure to cure any default by Assignor under the Lease;
- (b) Agrees that Assignee will have the right, but not the obligation, to cure any default by Assignor under the Lease within thirty (30) days after Lessor's delivery of notice of the default under section (a) above;
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, if a Crave franchisee (Assignor) fails to address any defaults under their lease agreement, the Lessor is obligated to provide written notification to the Assignee. The Assignee then has the right, but not the obligation, to rectify the default within thirty days after receiving the Lessor's notice.
This stipulation is part of the "Consent to Collateral Assignment and Agreement of Lessor," ensuring that in the event of a lease assignment, the new tenant (Assignee) is promptly informed of any existing lease defaults. This allows the Assignee the opportunity to correct the issues and maintain the lease agreement.
This agreement ensures a smooth transition and protects the interests of all parties involved, particularly the Assignee, by providing a clear process for addressing lease defaults. It also ensures that Crave restaurants continue to operate without disruption due to unresolved lease issues.