What is the date format for the Extreme Art Studio Franchise Agreement and Multi-Franchise Addendum?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
e extension or renewal options in the name, place, and stead of Assignor for the sole purpose of effecting the extension or renewal.
(Signatures on following page)
IN WITNESS WHEREOF, Assignor and Assignee have signed this Collateral Assignment of Lease as of the Effective Date first above written.
ASSIGNOR: _ By: Printed Name: Its: ASSIGNEE: EXTREME ART STUDIO FRANCHISING, LLC By: Printed Name: Its: Rev. 022324
EXHIBIT H-7
MULTI-FRANCHISE ADDENDUM TO FRANCHISE AGREEMENT
| THIS ADDENDUM ("Addendum") is entered into and made effe | ective as of the date set forth on |
|---|---|
| the signature page hereof, by and between Extreme Art Studio Franchising | g, LLC (" Franchisor ") and the |
| franchisee named on the signature page of this Addendum ("Franchisee"). | This Addendum relates to that |
| certain Extreme Art franchise agreement dated, 20_ | ("Franchise Agreement") |
| and supplements the terms of the Franchise Agreement in relation to the ope | ening of additional Extreme Art |
| franchises. All capitalized terms not otherwise defined in this Addendum s | shall have the meaning set forth |
| in the Franchise Agreement. To the extent this Addendum conflicts wi | ith the terms of the Franchise |
| Agreement, the terms of this Addendum shall control. |
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- Initial Franchise Fee. Franchisee has paid the initial franchise fee listed in Section 2 of this Addendum. The initial franchise fee is fully earned immediately upon receipt and non-refundable, regardless of whether Franchisee opens any additional Extreme Art franchises.
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- Type of Franchise. Franchisee has purchased the franchise package listed in the chart below which allows Franchisee to open a certain number of additional Extreme Art franchises at a later date ("Additional Franchises") without paying any additional initial franchise fee (other than the initial franchise fee listed below).
| Type of Franchise: | |
|---|---|
| "Standard 2 Franchise" | Up to 2 Extreme Art franchises $80,000 |
| "Standard 3 Franchise" | Up to 3 Extreme Art franchises $110,000 |
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- Franchise Agreement and Extreme Art Riders. Franchisee shall exercise the rights under this Addendum only by entering into a separate Extreme Art Rider with Franchisor for each Additional Franchise. Franchisee shall sign the current form of Extreme Art Rider then being used by Franchisor for an Extreme Art franchise for each Additional Franchise. Franchisee acknowledges that the then-current form of Extreme Art Rider may differ from the Extreme Art Rider found in the Franchise Agreement. Franchisee will not be required to pay a separate initial franchise fee.
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- Limited Rights. This Addendum does not grant Franchisee the right to franchise, license, sub-franchise, or sublicense others to operate Franchised Businesses. Only Franchisee (and/or Franchisee affiliated entities Franchisor approves) may develop, open, and operate Additional Franchises pursuant to this Addendum and Extreme Art Riders. This Addendum only grants Franchisee the right to enter into Extreme Art Riders to open Additional Franchises subject to the terms of the franchise agreement for such Additional Franchises. Franchisee is not granted any territorial rights or other rights except those granted under the franchise agreement pursuant to the Extreme Art Riders for the Additional Franchises.
Source: Item 22 — CONTRACTS (FDD page 49)
What This Means (2024 FDD)
According to the 2024 Extreme Art Studio Franchise Disclosure Document, the franchise agreement is dated using the format "20_" as seen in the Multi-Franchise Addendum. The Module Amendment to the Franchise Agreement uses the format "[date]" to indicate where the date should be entered. The Extreme Art Rider uses the format of DATED: to indicate where the date should be entered. The Collateral Assignment of Lease uses the phrase "as of the Effective Date first above written."
For a prospective Extreme Art Studio franchisee, this means that several different formats may be used when dating legal documents. It is important to pay attention to the specific format required for each document to ensure it is filled out correctly.
While the FDD provides examples of date formats within various agreements, it does not explicitly define what "[date]" means. A potential franchisee should confirm with Extreme Art Studio the precise format expected for dates in all agreements to avoid any discrepancies or misunderstandings.