What is the purpose of the addendum in relation to the Extreme Art Studio franchise agreement?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
| 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. |
Source: Item 22 — CONTRACTS (FDD page 49)
What This Means (2024 FDD)
According to the 2024 Extreme Art Studio Franchise Disclosure Document, the Addendum supplements the terms of the Franchise Agreement specifically in relation to opening additional Extreme Art Studio franchises. The addendum is made between Extreme Art Studio Franchising, LLC, as the Franchisor, and the franchisee.
The document states that all capitalized terms not defined within the addendum itself will carry the same meaning as defined in the original Franchise Agreement. In case of any conflicts between the addendum and the Franchise Agreement, the terms outlined in the addendum will take precedence.
In practical terms, this means that if a franchisee wishes to expand and open more Extreme Art Studio locations, the addendum modifies the original agreement to accommodate the new franchises. However, the addendum does not grant the franchisee the right to sub-franchise or license to others. The franchisee is responsible for all costs and expenses associated with opening the additional franchises, except for paying a separate initial franchise fee.