Who is liable for costs incurred if the Fitstop franchisee requests an amendment to the lease?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
- 9.10 Acknowledgements Regarding Subsequent Changes to Premises or Lease. You are liable for all costs incurred in association with the following events (including, but not limited to, negotiations and amendments to the lease or entry into a new or renewed lease and costs and fees we may incur in response):
- 9.10.1 where you, the landlord, or licensor of the lease requests an amendment to the terms of the lease;
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, the franchisee is liable for all costs associated with requesting an amendment to the lease. Specifically, if the Fitstop franchisee, the landlord, or the licensor of the lease requests an amendment to the terms of the lease, the franchisee is responsible for covering all costs incurred. These costs include, but are not limited to, negotiations, amendments to the lease, and any fees Fitstop may incur in response to the requested amendment.
This means that if a Fitstop franchisee wants to change any part of their lease agreement, they will have to pay for any expenses that come up during the process. This could include legal fees for reviewing the amendment, negotiation costs, and any fees charged by Fitstop for their involvement. This allocation of responsibility is fairly standard in franchising, as the franchisee typically controls the lease and its terms.
It is important for prospective Fitstop franchisees to carefully review the lease agreement and understand the potential costs associated with any future amendments. Franchisees should factor these potential costs into their financial planning and be prepared to cover these expenses should the need arise. This section of the FDD highlights the importance of due diligence when selecting a location and negotiating lease terms, as any future changes can result in additional out-of-pocket expenses for the franchisee.