factual

In the context of the Multi-Unit Addendum for Moes Southwest Grill, who is considered 'you' in the agreement?

Moes_Southwest_Grill Franchise · 2025 FDD

Answer from 2025 FDD Document

This Multi-Unit Addendum (the "MU Addendum") is signed as of between Moe's Franchisor SPV LLC, a Delaware limited liability company ("we" or "us") and «Z1_First_Name» «Z1_Last_Name», a «Z1_State_of_Formation» «Z1_Entity_Type», «Z2_First_Name» «Z2_Last_Name», a «Z2_State_of_Formation» «Z2_Entity_Type», «Z3_First_Name» a «Z3_Entity_Type», «Z3_Last_Name», «Z3_State_of_Formation» «Z4_First_Name» «Z4_Last_Name», a «Z4_State_of_Formation» «Z4_Entity_Type», «Z5_First_Name» «Z5_Last_Name», a «Z5_State_of_Formation» «Z5_Entity_Type», jointly and severally ("you").

Source: Item 22 — Contracts (FDD page 92)

What This Means (2025 FDD)

According to the 2025 Moe's Southwest Grill Franchise Disclosure Document, the term "you" in the Multi-Unit Addendum refers to the franchisee or franchisees entering into the agreement with Moe's Franchisor SPV LLC. Specifically, the document identifies "you" as «Z1_First_Name» «Z1_Last_Name», a «Z1_State_of_Formation» «Z1_Entity_Type», «Z2_First_Name» «Z2_Last_Name», a «Z2_State_of_Formation» «Z2_Entity_Type», «Z3_First_Name» a «Z3_Entity_Type», «Z3_Last_Name», «Z3_State_of_Formation» «Z4_First_Name» «Z4_Last_Name», a «Z4_State_of_Formation» «Z4_Entity_Type», «Z5_First_Name» «Z5_Last_Name», a «Z5_State_of_Formation» «Z5_Entity_Type», jointly and severally. This indicates that the "you" can be comprised of multiple individuals or entities who are all responsible for fulfilling the obligations outlined in the addendum.

This definition is important because the Multi-Unit Addendum modifies the standard franchise agreement, outlining the terms under which a franchisee will develop and operate multiple Moe's Southwest Grill locations. Understanding who is legally bound as "you" is crucial for determining liability and responsibility for meeting development schedules and other contractual obligations. In the event of non-compliance with the development schedule or termination of any agreement between the franchisee and Moe's Southwest Grill, the franchisor may terminate the addendum and/or any remaining franchise agreements for locations not yet opened.

Furthermore, the document states that the terms of the Multi-Unit Addendum supersede the terms of the MUA Franchise Agreements in case of any inconsistencies. This highlights the importance of carefully reviewing the addendum to understand how it alters the original franchise agreement. The addendum and its terms are considered confidential information under the MUA Franchise Agreements, emphasizing the need for franchisees to maintain the confidentiality of the agreement's details.

In summary, for a prospective multi-unit franchisee, it is essential to understand that "you" in the Multi-Unit Addendum legally binds all named individuals or entities jointly and severally. This means each party is fully responsible for the entire agreement. Prospective franchisees should seek legal counsel to fully understand the implications of entering into such an agreement and the potential liabilities involved.

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.