If the All County franchisee is transferring a series of transfers, what conditions must be met?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
event of your death or the death of one of your owners, by will, declaration of or transfer in trust or under the laws of intestate succession;
- 20.3.6. pledge of this Agreement (to someone other than us) or of an ownership interest in you as security, foreclosure upon the Business or your transfer, surrender or loss of possession, control or management of the Business; or
- 20.3.7. transferring any of the accounts or clients of the Business to anyone except to another ALL COUNTY® business that has been approved in writing by us or to us or our designees.
- 20.4. Conditions for Approval of Transfer. If you and all owners are in full compliance with this Agreement, we will approve a transfer that meets all of our applicable requirements and otherwise meets our applicable standards for ALL COUNTY® businessfranchisees. A transfer of ownership, possession or control of the Business may be made only in conjunction with a transfer of this Agreement. If the transfer is of this Agreement or a controlling interest in you, or is one of a series of transfers which in the aggregate constitute the transfer of this Agreement or a controlling interest in you, all of the following conditions must be met prior to or concurrently with the effective date of the transfer:
- 20.4.1. Abilities. The transferee and its direct and indirect owners have the moral character, skill, aptitude, attitude, experience, references, credentials, acumen and financial capacity to operate the Business.
- 20.4.2. Current Accounts. You have paid all Royalties, Ad Fees, amounts owed for purchases from us and all other amounts owed to us or to third party creditors and have submitted all required reports and statements.
- 20.4.3. Training. The transferee's Managing Owner has agreed to complete training to our satisfaction and does complete training to our satisfaction prior to closing.
- 20.4.4.
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, a series of transfers that cumulatively result in the transfer of the franchise agreement or a controlling interest in the franchisee are subject to specific conditions. Prior to or concurrently with the effective date of the transfer, several requirements must be satisfied. The transferee must demonstrate the moral character, skills, aptitude, experience, and financial capacity necessary to operate the All County business.
Additionally, the franchisee must be current on all financial obligations, including royalties, advertising fees, and payments for purchases from All County or third-party creditors, and must have submitted all required reports and statements. The transferee's managing owner is required to complete training to All County's satisfaction before the transfer can be finalized. The transferee must also agree to be bound by the existing franchise agreement's terms for the remainder of its term or, at All County's option, execute the then-current standard franchise agreement, which may include different terms than the original agreement.
Furthermore, the franchisee is obligated to pay a transfer fee of $10,000 at the time of the proposed transfer, along with All County's reasonable legal fees, administrative costs, and out-of-pocket expenses related to qualifying the transferee. It is important to note that these conditions ensure that any new owner meets All County's standards and is fully prepared to operate the franchise successfully, protecting the brand and the interests of other franchisees.