Is Crisp & Green obligated to assist me in negotiating a lease or sublease?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
Although we may in some circumstances provide you with assistance in negotiating a lease or sublease, we are under no obligation to do so.
If you lease the site, the lease must contain terms that are reasonably acceptable to us, and you and the landlord will be required to execute our standard lease addendum, the form of which is attached as Exhibit C to the Franchise Agreement.
Neither we nor our affiliates generally own the sites at which Restaurants are operated, which means you will be negotiating with independent third parties relating to the lease, sublease, or purchase of the site for your Franchised Restaurant. (Franchise Agreement Sections 3.02 and 3.03).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 33–44)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, while they may offer assistance in negotiating a lease or sublease, they are not obligated to do so. After Crisp & Green approves a proposed site, the franchisee can proceed to negotiate the lease, sublease, or purchase agreement. However, the franchisee must submit the lease, sublease, or purchase agreement to Crisp & Green for their approval or disapproval before signing.
Crisp & Green requires that the lease terms be reasonably acceptable to them, and both the franchisee and the landlord must execute Crisp & Green's standard lease addendum. The FDD specifies that Crisp & Green and its affiliates generally do not own the sites where the restaurants operate. This means franchisees will typically negotiate with independent third parties for the lease, sublease, or purchase of the site for their Crisp & Green restaurant.
This arrangement is fairly typical in the franchise industry, where the franchisee bears the primary responsibility for securing a suitable location. However, the franchisor often retains approval rights to ensure the site meets their standards. Prospective Crisp & Green franchisees should carefully review the lease addendum and understand the criteria Crisp & Green uses to evaluate and approve lease terms to avoid potential conflicts or delays in the site selection process.