Under what conditions can Anago withhold consent for a subfranchisor to transfer their interests?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) Any purported assignment, transfer, conveyance or encumbrance without complying with the requirements of this Section 7.2 will be null and void, and may result in immediate termination of this Agreement, as stated below in Section 8.3.
- (e) Franchisor's consent to a transfer does not constitute a waiver of any claims Franchisor may have against the transferring party, nor is it deemed a waiver of Franchisor's rights to demand exact compliance with any of the terms of this Agreement by the transferee.
Section 7.3 - Conditions to Franchisor's Consent to Transfer
Franchisor will not unreasonably withhold or delay its consent to a sale of the Subfranchise Business (and the transfer of this Agreement in connection therewith) or to a transfer of ownership interests in Subfranchisor if all of the following conditions are met before the time of the proposed transfer:
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, Anago will not unreasonably withhold or delay consent to a sale of the Subfranchise Business or a transfer of ownership interests in the Subfranchisor if certain conditions are met before the proposed transfer.
These conditions are detailed in Section 7.3 of the agreement. If these conditions are not met, Anago can withhold consent for the transfer.
Additionally, any transfer without complying with the requirements outlined in Section 7.2 will be considered null and void and may result in immediate termination of the agreement, as stated in Section 8.3. Anago's consent to a transfer does not waive any claims Anago may have against the transferring party, nor does it waive Anago's rights to demand compliance with the terms of the agreement by the transferee.