If a Fly To Fit franchisee leases their location, what obligations do they have?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
6.2 Lease. In connection with any lease between Franchisee and the landlord of the Location: (i) if requested by Fly To Fit Franchise, Franchisee must submit the proposed lease to Fly To Fit Franchise for written approval, (ii) the term of the lease (including renewal terms) must be for a period of not less than the term of this Agreement, and (iii) Franchisee shall use commercially reasonable efforts to obtain the landlord's signature to a rider to the lease in the form required by Fly To Fit Franchise.
6.3 Development. Franchisee shall construct (or remodel) and finish the Location in conformity with Fly To Fit Franchise's System Standards.
If required by Fly To Fit Franchise, Franchisee shall engage the services of an architect licensed in the jurisdiction of the Location.
Franchisee shall not begin any construction or remodeling work without first obtaining Fly To Fit Franchise's approval of Franchisee's plans.
Fly To Fit Franchise may, but is not required to, inspect Franchisee's construction or remodeling progress at any reasonable time.
Franchisee shall not rely upon any information provided or opinions expressed by Fly To Fit Franchise or its representatives regarding any architectural, engineering, or legal matters (including without limitation the Americans With Disabilities Act) in the development and construction of the Business, and Fly To Fit Franchise assumes no liability with respect thereto.
Source: Item 22 — CONTRACTS (FDD page 44)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, if a franchisee leases their location, they have specific obligations to Fly To Fit. First, if Fly To Fit requests it, the franchisee must submit the proposed lease for written approval. Second, the lease term, including any renewal terms, must be no less than the term of the Franchise Agreement itself. Finally, the franchisee must use commercially reasonable efforts to get the landlord to sign a rider to the lease in the form required by Fly To Fit.
These stipulations ensure that Fly To Fit maintains some control over the location of its franchises and that the lease terms align with the franchise agreement. This protects Fly To Fit's interests by preventing a franchisee from having a lease that expires before the franchise agreement, which could disrupt the business. The requirement for a landlord's rider further allows Fly To Fit to have certain protections or rights related to the property, although the specific terms of the rider are not detailed in this excerpt.
It is important for prospective Fly To Fit franchisees to understand these obligations before signing a lease. They should factor in the time needed for Fly To Fit's approval and ensure the lease term is sufficient. Additionally, they should be prepared to negotiate with the landlord to obtain the required rider. Franchisees should carefully review the form of the rider required by Fly To Fit to understand its implications and potential impact on their lease negotiations.
Fly To Fit's advice or acceptance of a site does not represent or warrant the success of the business, and Fly To Fit has no liability to the franchisee regarding the business's location. Franchisees bear the ultimate responsibility for selecting a viable location and should conduct their own due diligence.