What is the deadline for Hyper Kidz to disapprove a proposed lease, sublease, or purchase agreement for a site?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
4.2.2 You will deliver to us for review a copy of the lease, sublease or purchase agreement for the Site. You agree that you will not execute a lease, sublease or purchase agreement without our prior written approval of its terms. If we do not disapprove a proposed lease, sublease or purchase agreement within fifteen (15) days after we receive it, it shall be deemed approved by us. You shall deliver a copy of the signed lease, sublease or purchase agreement to us within fifteen (15) days of its execution. You further agree that you will not execute or agree to any modification of the lease, sublease or purchase agreement which would affect our rights without our prior written approval.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Hyper Kidz's 2024 Franchise Disclosure Document, Hyper Kidz has a 15-day deadline to disapprove a proposed lease, sublease, or purchase agreement. If Hyper Kidz does not disapprove the agreement within this timeframe, it is considered approved.
This means that a prospective Hyper Kidz franchisee must submit the lease, sublease, or purchase agreement to Hyper Kidz for review. Hyper Kidz then has 15 days to evaluate the terms and conditions of the agreement. If Hyper Kidz finds the agreement unacceptable, they must communicate their disapproval within this period.
If Hyper Kidz fails to respond within the 15-day timeframe, the franchisee can proceed with the agreement, as it will be deemed approved. After the lease, sublease, or purchase agreement is signed, the franchisee must provide a copy of the signed document to Hyper Kidz within 15 days.