What does the developer consent to by signing the addendum to the Monicals Pizza Area Development Agreement?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| between Monical Pizza Corporation and | This Addendum to the Area Development Agreement is agreed to this day of, 20, by and | |
|---|---|---|
| 1. | In recognition of the requirements of New York's General Business Law, Article 33, §§680 through | |
| 695, the Area Development Agreement for Monical Pizza Corporation is amended as follows: | ||
| | Section 7.1 of the Area Development Agreement is amended to provide that Franchisor will | |
| not transfer and assign its rights and obligations under the Area Development Agreement | ||
| unless the transferee will be able to perform the Franchisor's obligations under the Area | ||
| Development Agreement, in Franchisor's good faith judgment, so long as it remains subject | ||
| to Article 33 of the General Business Law of the State of New York. | ||
| | No provision in the Area Development Agreement shall be construed as requiring Developer | |
| General Business Law of the State of New York. | to waive any right conferred upon the Developer by the provisions of Article 33 of the | |
| | Section 8 of the Area Development Agreement is amended to provide that the Developer may | |
| terminate the Area Development Agreement on any grounds available by law. | ||
| 2. | or exhibits or attachments thereto, the terms of this Addendum shall govern. | Each provision of this Addendum shall be effective only to the extent that the jurisdictional |
| requirements of the New York Law applicable to the provisions are met independently of this Addendum. To the extent | ||
| this Addendum shall be deemed to be inconsistent with any terms or conditions of said Area Development Agreement | ||
| understands and consents to be bound by all of its terms. | IN WITNESS WHEREOF, each of the undersigned hereby acknowledges having read this Addendum and |
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to the 2025 Monicals Pizza Franchise Disclosure Document, by signing the addendum to the Area Development Agreement, the developer acknowledges having read the addendum and consents to be bound by all of its terms. This indicates that the developer agrees to the modifications, additions, or clarifications made to the original Area Development Agreement as outlined in the addendum.
The specific terms and conditions the developer is consenting to will vary depending on the content of the addendum itself. Several addenda are included in the FDD, addressing specific state laws such as those in New York, Rhode Island, Hawaii, Indiana, and Wisconsin. These addenda modify the original agreement to comply with local regulations, covering aspects like franchise termination, non-compete clauses, indemnification, choice of law, venue for litigation or arbitration, and franchisee rights.
For a prospective Monicals Pizza area developer, this means carefully reviewing the addendum applicable to their specific state or territory is crucial. They must understand how the addendum alters the original Area Development Agreement and what obligations and rights they are agreeing to. If there are inconsistencies between the original agreement and the addendum, the terms of the addendum will govern. It is advisable for the developer to seek legal counsel to fully comprehend the implications of the addendum before signing.