What sections of the My Salon Suite Franchise Agreement outline the site selection procedure?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
Within nine (9) months after Franchisee's execution of the Franchise Agreement, Franchisee must purchase or lease an Approved Location, at Franchisee's expense, that Franchisor approves in accordance with the site selection procedure set forth in Sections 2.B. and 7 of the Franchise Agreement.
The Approved Location shall be within the following geographical search area (the "Site Selection Area"):
Franchisee acknowledges and agrees that the Franchisee's Protected Territory may not be the same geographical area as the Site Selection Area and the Franchisee's Protected Territory may be significantly smaller than the Site Selection Area.
Notwithstanding anything contained in this Site Selection Addendum, Franchisor may establish, and license another to establish, a Franchised Business using Franchisor's Proprietary Marks and System within the Site Selection Area at any time, subject to Section 2.C. of the Franchise Agreement.
Failure by Franchisee to obtain premises for the Franchised Business within the time required in Section 7.A. of the Franchise Agreement shall constitute a default under the Franchise Agreement and this Site Selection Addendum and shall be grounds for termination as set forth in Section 14 of the Franchise Agreement.
The parties agree and acknowledge that time is of the essence with respect to all of Franchisee's obligations under this Site Selection Addendum.
If Franchisee will occupy the premises of the Franchised Business under a lease, Franchisee shall, prior to the execution thereof: (i) provide the lease for the proposed site to Franchisor for evaluation and approval, which Franchisee must obtain; and (ii) execute the Conditional Assignment of Lease and obtain the lessor's execution of the Consent and Agreement of Lessor, in the forms attached to the franchise disclosure document.
Franchisor's approval of the lease may be conditioned upon the inclusion in the lease such terms and conditions as Franchisor may reasonably require, including, without limitation:
- a.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to the 2025 My Salon Suite Franchise Disclosure Document, the site selection procedure is detailed in Sections 2.B and 7 of the Franchise Agreement. Additionally, the Site Selection Addendum provides further information regarding site selection.
The FDD states that within nine months of signing the Franchise Agreement, franchisees must secure an Approved Location that My Salon Suite approves. This location must be within a defined geographical search area. However, My Salon Suite can still establish another franchise within the Site Selection Area, subject to Section 2.C of the Franchise Agreement, and the Protected Territory may be smaller than the Site Selection Area.
Failure to secure premises within the specified timeframe outlined in Section 7.A constitutes a default under the Franchise Agreement and the Site Selection Addendum, potentially leading to termination of the agreement. If the franchisee leases the premises, the lease must be provided to My Salon Suite for evaluation and approval before execution. The franchisee must also execute a Conditional Assignment of Lease and obtain the lessor's consent, using forms provided in the franchise disclosure document. My Salon Suite's approval of the lease may depend on specific terms and conditions included in the lease.