Who is responsible for locating a site for the Learningrx business and negotiating the lease?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee is solely responsible for locating a site for the Business and negotiating a lease for the property.
Upon request, Franchisor will provide limited advice and assistance to Franchisee in selecting a site and analyzing a location and in negotiating a lease.
Franchisor will analyze a location by examining population density, traffic patterns, proximity of the proposed location to any other LearningRx Centers, or any other reasonable criteria, as set forth in Section 10.2.
Franchisee agrees that the location of the Center is a factor in the potential for success of the Business and the location will be located close to the Center of the Territory.
Franchisor may reject any location in its discretion, but consent will not be unreasonably withheld.
If Franchisee and Franchisor cannot agree on the site selection, then Franchisee must select two (2) alternative sites.
Franchisor shall provide Franchisee with an evaluation of each site as described above.
Franchisor shall approve or disapprove Franchisee's proposed site within thirty (30) days of the date Franchisor receives written notice of the proposed site from Franchisee.
Any site not approved in writing by Franchisor within the thirty (30) day time period shall be deemed disapproved.
However, Franchisor's assistance in no way constitutes a representation or warranty with respect to the property or the lease.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, the franchisee is primarily responsible for site selection and lease negotiation. While Learningrx offers some assistance, the ultimate responsibility lies with the franchisee.
Specifically, the franchisee must locate a site for the Learningrx business and negotiate the lease terms. However, Learningrx will provide limited advice and assistance upon request, including analyzing the location based on factors like population density, traffic patterns, and proximity to other Learningrx centers. Learningrx also retains the right to reject any proposed location, although this consent will not be unreasonably withheld.
If the franchisee and Learningrx disagree on the initial site selection, the franchisee must propose two alternative locations for Learningrx to evaluate. Learningrx is obligated to approve or disapprove a proposed site within 30 days of receiving written notice from the franchisee. A site is deemed disapproved if Learningrx fails to provide written approval within this timeframe.
It is important to note that Learningrx's assistance in site selection does not constitute a representation or warranty regarding the property or the lease. The franchisee bears the risk of selecting a suitable location and negotiating favorable lease terms, highlighting the importance of due diligence and potentially seeking professional advice during this process.