What happens if there is an inconsistency between the terms of the Itan Franchise Agreement and the terms of the Lease?

According to Itan's 2025 Franchise Disclosure Document, if there is an inconsistency between the terms of the Lease Agreement and the terms of the agreement between the landlord, the tenant, and Itan, then the terms of the agreement between the landlord, the tenant, and Itan will control. This agreement outlines the rights and obligations of each party involved, including Itan, the franchisee (tenant), and the landlord.

This clause is designed to protect Itan's interests and ensure that the franchise system maintains uniformity and control over its locations. By prioritizing the terms of the agreement involving Itan, the brand can enforce its standards and protect its trademarks, even if the lease agreement contains conflicting provisions. This is particularly important for aspects of the business that directly impact the brand's image and operational standards.

For a prospective Itan franchisee, this means that the terms of the agreement with Itan take precedence over any conflicting terms in the lease. Franchisees should carefully review all agreements to understand their obligations and ensure compliance with Itan's requirements. This also highlights the importance of involving Itan in lease negotiations to ensure that the lease terms align with the franchise agreement and protect the franchisor's interests.