What constitutes an assignment of the Funding Agreement by an All Team franchisee?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
- E. Assignment. This Funding Agreement is personal to USER and shall not be assignable or transferable by USER, in whole or in part, either voluntarily or by operation of law, except with the prior written consent of ATFC with a copy to Centennial, which consent shall not unreasonably be withheld.
For all purposes of this Funding Agreement, the transfer of the majority of the equity of USER to persons other than the present owners thereof, or of any substantial portion of the Business in one or more transactions, shall be deemed an assignment of this Funding Agreement requiring such consent.
Any assignment must be in conjunction with a corresponding assignment under the Franchise Agreement and the Processing Agreement.
This Funding Agreement is fully assignable by ATFC.
Source: Item 23 — RECEIPT (FDD pages 34–161)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the Funding Agreement is personal to the franchisee (referred to as USER) and cannot be assigned or transferred, either voluntarily or by law, without All Team's prior written consent, including a copy to Centennial. All Team agrees to not unreasonably withhold consent.
For the purposes of the Funding Agreement, the transfer of the majority of the equity of the All Team franchisee to individuals other than the current owners, or the transfer of a substantial portion of the business in one or more transactions, is considered an assignment of the Funding Agreement. This requires consent from All Team.
Any assignment of the Funding Agreement by the All Team franchisee must occur alongside a corresponding assignment under both the Franchise Agreement and the Processing Agreement. All Team retains the right to fully assign the Funding Agreement.