Does Stretch Zone's approval or disapproval of a proposed lease impose any liability on the franchisor?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
Any lease must provide that the effectiveness of the lease is conditioned upon your obtaining our written approval. Our approval will be given when the property owner, you and we sign our form of Agreement with Landlord attached as Exhibit H. You agree that our approval or disapproval of a proposed lease does not impose any liability on us.
Source: Item 6 — ITEM -6 OTHER FEES (FDD pages 16–33)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, Stretch Zone's approval or disapproval of a proposed lease does not impose any liability on them. The franchisee is responsible for finding a site that meets Stretch Zone's criteria within 30 days of signing the Franchise Agreement. The franchisee must submit all material information regarding the proposed site to Stretch Zone.
Any lease must be conditional upon receiving Stretch Zone's written approval. This approval is granted when the property owner, the franchisee, and Stretch Zone sign Stretch Zone's form of Agreement with Landlord, which is attached as Exhibit H.
This clause protects Stretch Zone from potential legal claims related to site selection and lease agreements. However, the franchisee bears the risk of finding a suitable location and negotiating a lease that meets Stretch Zone's requirements, without recourse against Stretch Zone if a proposed lease is ultimately rejected.