factual

Does Itan have a standard Lease Addendum that franchisees are expected to use?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

We do not review the terms of your lease. If you lease the premises for your Salon, you must use best efforts to cause your landlord to sign the Lease Addendum attached to the Franchise Agreement as ATTACHMENT "C". The Lease Addendum is designed to protect our interests. If your landlord refuses to sign the Lease Addendum in substantially the form attached to the Franchise Agreement, we may either (a) waive the Lease Addendum requirement (or the provisions disapproved by the landlord) or (b) require you to find a new site for your Salon. You and the landlord must sign the lease and Lease Addendum within 60 days after we approve your site.

Source: Item 22 — CONTRACTS (FDD pages 43–44)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, if a franchisee leases the premises for their salon, they must make their best effort to have the landlord sign the Lease Addendum attached to the Franchise Agreement as ATTACHMENT "C". This addendum is specifically designed to protect Itan's interests as the franchisor.

If the landlord refuses to sign the Lease Addendum in its original form, Itan has the option to either waive the requirement for the addendum or specific provisions within it that the landlord disapproves of. Alternatively, Itan can require the franchisee to find a new site for their salon if the landlord is unwilling to agree to the Lease Addendum.

The franchisee and the landlord are required to sign the lease and Lease Addendum within 60 days after Itan approves the site. For franchisees converting an existing tanning salon to an Itan Salon, they must also ensure their landlord executes Itan's required Lease Addendum, potentially needing to negotiate lease modifications to secure a term of at least 10 years from the conversion date.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.