How does Pump It Up determine if an arrangement qualifies as a lease?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
- (1) No later than 12 months from the Effective Date of this Agreement, you shall execute a lease agreement or otherwise secure the Premises for your Franchised Business.
If the Premises have not been approved in writing by us as of the Effective Date, your Protected Area will be determined by us after you execute a lease for the Franchised Business, or otherwise secure the Premises in a manner approved by us, and at such time the Protected Area will be attached to and incorporated into Exhibit 1.
(2) You acknowledge that our review of the Lease is not a guarantee or warranty, express or implied, of the success or profitability of a Pump It Up Business operated at the Premises. Our review will indicate only whether we believe that the terms of the Lease meet our thenacceptable criteria.
- (g) The landlord agrees not to amend or otherwise modify the Lease in any manner that would affect any of the foregoing requirements without our prior written consent, which consent will not be unreasonably withheld.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to the 2025 Pump It Up FDD, the franchise agreement stipulates that a franchisee must execute a lease agreement or otherwise secure the premises for their franchised business no later than 12 months from the effective date of the agreement.
Pump It Up requires written approval of the premises. If the premises have not been approved in writing by Pump It Up as of the effective date of the franchise agreement, the protected area for the franchisee will be determined by Pump It Up after the franchisee executes a lease for the franchised business or otherwise secures the premises in a manner approved by Pump It Up. At that time, the protected area will be attached to and incorporated into Exhibit 1 of the franchise agreement.
Pump It Up's review of the lease does not guarantee the success or profitability of the Pump It Up business operated at the premises. The review will only indicate whether Pump It Up believes that the terms of the lease meet their then-acceptable criteria. Pump It Up also requires that the landlord agrees not to amend or otherwise modify the lease in any manner that would affect any of the requirements without Pump It Up's prior written consent, which consent will not be unreasonably withheld.