Must modifications to the All County franchise agreement be in writing?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
to execute our then current standard franchise agreement. Our then current franchise agreement shall include a complete term of effectiveness, unless otherwise we agree in writing with the proposed transferee to some other modified term of the franchise agreement, in our sole business judgment.
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 31–34)
What This Means (2025 FDD)
According to the 2025 All County Franchise Disclosure Document, modifications to the franchise agreement regarding transfer terms must be in writing. Specifically, the standard franchise agreement includes a complete term of effectiveness, unless All County agrees in writing with the proposed transferee to some other modified term. This means that any alterations to the standard term of the franchise agreement during a transfer need to be formally documented and agreed upon in writing by both All County and the party to whom the franchise is being transferred.
This requirement ensures clarity and prevents misunderstandings regarding the duration of the franchise term post-transfer. It protects both All County and the transferee by providing a clear record of the agreed-upon terms. Without a written agreement, disputes could arise over the intended length of the franchise term, potentially leading to legal complications.
In the context of franchise transfers, this stipulation is fairly standard. Franchisors typically require any modifications to the original agreement to be documented in writing to maintain consistency and avoid future disputes. Prospective All County franchisees should pay close attention to this clause, especially if they anticipate transferring their franchise in the future and negotiating different terms with a potential transferee. They should also seek legal counsel to ensure that any written agreements accurately reflect their understanding of the modified terms.