What is the definition of 'Approved Location' in the context of a My Salon Suite franchise agreement?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, the Franchise Agreement requires Tenant to obtain Franchisor's prior written approval of the location for Tenant's Franchised Business (the "Approved Location") before entering into a lease with the owner or master tenant of the Approved Location (the "Lease");
WHEREAS, one of the factors that Franchisor considers in approving a location for Tenant's Franchised Business is the agreement of the owner or master tenant of the Approved Location to incorporate certain provisions as part of the Lease to protect Franchisor's interests and give Franchisor specific rights as a third-party beneficiary;
B. Approved Location.
Franchisee may operate the Franchised Business only at the Approved Location identified in Attachment A ("Data Sheet"). Franchisee may not relocate the Franchised Business without Franchisor's prior written consent, and Franchisee must reimburse Franchisor for Franchisor's cost in reviewing, evaluating, approving, and assisting in any relocation as set forth in Section 7 of this Franchise Agreement. In the event Franchisee has not secured an Approved Location prior to the Effective Date, then the parties will enter into Franchisor's prescribed form of site selection addendum attached to this Franchise Agreement as Attachment B ("Site Selection Addendum"), and Franchisee must locate and secure an Approved Location within the "Site Selection Area" defined therein.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, the 'Approved Location' is the site for the Franchised Business that the Franchisor has given prior written approval for. The franchisee must get this approval before signing a lease with the property owner.
My Salon Suite considers the lease terms as part of the location approval process. The franchisor wants to ensure that specific provisions are included in the lease to protect its interests as a third-party beneficiary. This means My Salon Suite has certain rights related to the lease agreement, even though they are not a direct party to it.
The Approved Location is typically identified in Attachment A, the Data Sheet, of the Franchise Agreement. The franchisee is generally restricted to operating the My Salon Suite business only at this Approved Location. If a franchisee wants to move locations, they must get written consent from My Salon Suite and may have to cover the costs associated with the franchisor's review and approval of the new site. If an Approved Location hasn't been secured by the effective date of the agreement, a Site Selection Addendum (Attachment B) is used, requiring the franchisee to find an Approved Location within a defined Site Selection Area.