Does the Alloy franchise agreement specify that the Owner must execute a written consent?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
You may not commence construction on any Facility until you have received our written consent to your building plans.
The application must indicate whether you or an Owner proposes to retain a security interest in the property to be transferred.
No security interest may be retained or created, however, without our prior written consent and except upon conditions acceptable to us.
Any agreement used in connection with a transfer will be subject to our prior written approval, which approval will not be withheld unreasonably.
Any such assignment shall be subject to the prior written consent of the Landlord, which Landlord
shall not unreasonably withhold as it relates to a creditworthy franchisee who otherwise meets Franchisor's then-current standards and requirements for franchisees and agrees to operate the Facility as an ALLOY Facility pursuant to a Franchise Agreement with Franchisor.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to the 2025 Alloy FDD, the franchise agreement requires written consent in several instances. Specifically, Alloy requires written consent regarding building plans for a new facility. Before construction can begin on any Alloy facility, the franchisee must receive written consent from Alloy approving the building plans.
Additionally, if a franchisee wishes to retain a security interest in property to be transferred, they must obtain Alloy's prior written consent. Alloy also requires written approval for any agreement used in connection with a transfer, although such approval will not be unreasonably withheld.
Finally, in the context of a lease agreement, if the franchisee (as tenant) seeks to assign the lease to another party, the landlord's written consent is required. The landlord's consent cannot be unreasonably withheld if the assignee is a creditworthy franchisee who meets Alloy's standards and agrees to operate the facility under a Franchise Agreement with Alloy. These stipulations ensure Alloy maintains control over key aspects of the franchise operation, including facility design, financial interests, and lease agreements.