What is the 'Lease Agreement Rider' for a Mrcool franchise, and where can I find it?
Mrcool Franchise · 2025 FDDAnswer from 2025 FDD Document
- "Lease Agreement Rider" refers to and means the form "Lease Agreement Rider" attached to this Agreement as Exhibit 4.
Source: Item 23 — RECEIPTS (FDD pages 55–263)
What This Means (2025 FDD)
According to Mrcool's 2025 Franchise Disclosure Document, the Lease Agreement Rider is a document that supplements and amends the lease agreement between the landlord and the franchisee (tenant). The FDD states that the form "Lease Agreement Rider" is attached to the Franchise Agreement as Exhibit 4.
This rider ensures that Mrcool, as the franchisor, is a third-party beneficiary, granting them certain rights related to the leased premises. Specifically, if there are inconsistencies between the rider and the original lease, the terms of the rider will take precedence. These rights cannot be reduced, modified, or altered without Mrcool's express written consent.
Exhibit 4, which includes the Lease Agreement Rider, is intended to protect Mrcool's interests by giving them the option to assume or renew the lease if the franchisee defaults or leaves the system. This includes the right to sublease the premises to another Mrcool franchisee. The franchisor's assumption of the lease does not require the landlord's consent or payment of assignment fees, and it won't result in increased rent or fees. Furthermore, if Mrcool assigns the lease to another franchisee, Mrcool is not responsible for obligations arising after the assignment date.