What obligation does a Zoomin Groomin franchisee have regarding the lease of the Franchised Business facility upon termination?

According to the 2025 Zoomin Groomin FDD, upon termination or expiration of the Franchise Agreement, including a sale of the franchise business, the franchisee is obligated to assist in transferring the lease of the facility if requested by Zoomin Groomin. This assistance should be the franchisee's best efforts to facilitate the lease transfer, whether through a new lease or an assignment of the existing lease. This obligation is at Zoomin Groomin's option and upon their request.

This means that if Zoomin Groomin wants to keep the location of the franchise operational under a new franchisee or as a company-owned outlet, they can ask the outgoing franchisee to help with the lease transfer. The franchisee is not necessarily required to guarantee the transfer, but must make a good-faith effort to assist. This could involve communicating with the landlord, providing necessary documentation, or otherwise cooperating in the process.

For a prospective Zoomin Groomin franchisee, this clause highlights the importance of carefully reviewing the lease agreement for the business location. It is essential to understand the terms of the lease, including any clauses related to assignment or subletting, as these could impact the ease with which the lease can be transferred. Additionally, franchisees should maintain a good relationship with their landlord, as this can facilitate a smoother lease transfer process if the situation arises.