Does the All Team Processing Agreement address the rights and obligations of successors and assigns?

According to All Team's 2025 Franchise Disclosure Document, the Processing Agreement does address the rights and obligations of successors and assigns. The agreement states that it is binding upon and will benefit All Team, the user (franchisee), and their permitted successors and assigns. This means that if either All Team or the franchisee transfers their rights or obligations under the agreement to another party, the agreement remains in effect and applies to the new party.

However, the Processing Agreement is personal to the user (franchisee) and is not assignable or transferable by the user, in whole or in part, either voluntarily or by operation of law, except with the prior written consent of All Team, which consent shall not unreasonably be withheld. Furthermore, any assignment must be in conjunction with a corresponding assignment under the Franchise Agreement. This indicates that the franchisee needs to obtain permission from All Team before assigning their rights under the Processing Agreement, and such assignment is linked to the transfer of the Franchise Agreement itself.

All Team, on the other hand, has the right to fully assign the Processing Agreement. This difference in assignability reflects the franchisor's need for flexibility in managing its business relationships. The agreement also specifies that a transfer of the majority of the equity of the user to persons other than the present owners, or of any substantial portion of the business, is deemed an assignment requiring consent. This provision aims to prevent franchisees from circumventing the assignment restrictions by transferring ownership of the business rather than directly assigning the agreement.