Is the transfer of an interest in the All County franchise under the laws of intestate succession considered an assignment?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
- 20.3.5. transfer of an interest in you, this Agreement or the Business, in the 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;
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, the transfer of an interest in the franchise due to intestate succession is considered an assignment. Specifically, the FDD states that an assignment, transfer, sale, gift, or other disposition includes the transfer of an interest in the franchisee, the Franchise Agreement, or the business in the event of death, either by will, declaration of trust, or under the laws of intestate succession.
This means that if a franchisee dies without a will and their interest in the All County franchise is transferred according to the laws of intestate succession, it is treated as an assignment under the franchise agreement. As such, the standard transfer conditions outlined in the agreement would apply.
For a prospective All County franchisee, this highlights the importance of estate planning. Franchisees should be aware that upon their death, the transfer of their franchise interest, even through intestate succession, will be subject to All County's approval and transfer conditions. This may include the transferee meeting All County's qualifications, signing the current franchise agreement, and potentially paying transfer fees. Failing to plan for this contingency could create complications and potential delays in transferring the business to their heirs.