Under what conditions can Aplus assign its rights or delegate its obligations under the Franchise Agreement to a third party?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
We retain the right to assign our rights or delegate the performance of any portion of our obligations under the Franchise Agreement to third party designee, an area representative (if applicable), or independent contractors with whom we contract to perform these obligations without the prior written consent from you. If we assign our right to receive any amount under the Franchise Agreement to any third-party. You are liable for all compliance and upon our notice to you, you must make all such payments directly to the designated third-party.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, AND TRAINING (FDD pages 40–47)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, Aplus retains the right to assign its rights or delegate the performance of any portion of its obligations under the Franchise Agreement to a third-party designee, an area representative (if applicable), or independent contractors without obtaining prior written consent from the franchisee.
If Aplus assigns its right to receive any amount under the Franchise Agreement to a third party, the franchisee is liable for compliance and must make all such payments directly to the designated third party upon receiving notice from Aplus.
This means that as an Aplus franchisee, you may be required to interact with and make payments to entities other than Aplus itself if Aplus chooses to assign or delegate its responsibilities. It is fairly common in franchising for franchisors to use third parties or area representatives to handle certain aspects of the franchise relationship, such as training or support, but the franchisee is still bound by the terms of the original Franchise Agreement.