When and how will Angry Chickz pay the franchisee the purchase price for the Assets?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.3.4 Company shall pay Franchisee the purchase price (by corporate check, or offset, or a combination, as applicable) at closing of the purchase; the closing shall take place at a time and place designated by Company within ninety (90) calendar days after Franchisee receives Company's notice of exercise of the purchase option; at closing, Franchisee shall deliver to Company an assignment (and other documentation as Company deems appropriate) transferring good and marketable title to the assets selected by Company, free of liens and encumbrances, with all sales and other transfer taxes paid by Franchisee;
- 15.3.5 If Company elects, then the parties shall comply with applicable bulk sales provisions of the commercial code in the state where the Franchised Business is located, and Company shall have the right to delay the closing until such compliance is completed; and
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, the company will pay the franchisee the purchase price for the assets at the closing of the purchase. This payment can be made via corporate check, offset, or a combination of both, as applicable.
The closing will occur at a time and place designated by Angry Chickz, but it must take place within ninety (90) calendar days after the franchisee receives the company's notice of exercise of the purchase option. At the closing, the franchisee is required to deliver an assignment and other necessary documentation to Angry Chickz, transferring good and marketable title to the selected assets, free of any liens or encumbrances. The franchisee is also responsible for paying all sales and other transfer taxes.
Additionally, Angry Chickz has the right to deduct any amounts owed by the franchisee to the company or its affiliates from the purchase price. The company also has the right to delay the closing until compliance is completed if Angry Chickz elects to comply with applicable bulk sales provisions of the commercial code in the state where the franchised business is located.