What advance written notice is required for a proposed transfer of an Apricot Lane franchise?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
In all cases FRANCHISEE must provide FRANCHISOR with at least forty-five (45) days prior written notice of the proposed transfer.
At least forty-five (45) days prior to any proposed transfer: (i) of this Agreement or the franchise hereunder; or (ii) of the Franchised Business; or (iii) of a substantial part of the assets used therein; or (iv) which would effect a change in the controlling interest of FRANCHISEE or the Franchised Business, FRANCHISEE will provide FRANCHISOR with written notice of the proposed transfer, including all of the terms and conditions of the proposed transfer, the identity of the proposed transferee and a copy of any bona fide offer, proposed agreement to transfer or letter of intent for the proposed transfer. FRANCHISOR or its designee shall have ten (10) days after receipt of the foregoing information in which to elect to acquire the interest to be transferred on the same terms and conditions as those contained in the notice
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to the 2025 Apricot Lane Franchise Disclosure Document, a franchisee must provide the franchisor with at least 45 days prior written notice of a proposed transfer. This requirement applies to transfers of the Franchise Agreement itself, the franchised business, a substantial part of the assets used in the business, or anything that would change the controlling interest of the franchisee or the franchised business. This advance notice allows Apricot Lane to assess the proposed transfer and exercise its rights accordingly.
In addition to the 45-day notice, the franchisee must include all terms and conditions of the proposed transfer, the identity of the proposed transferee, and a copy of any bona fide offer, proposed agreement to transfer, or letter of intent. This comprehensive disclosure ensures that Apricot Lane has all the necessary information to make an informed decision regarding the transfer.
Apricot Lane also retains a right of first refusal, giving them the option to acquire the interest being transferred on the same terms and conditions as the proposed transfer. If Apricot Lane chooses to exercise this right, they have ten days after receiving the franchisee's notice to elect to acquire the interest. If Apricot Lane waives its right of first refusal, the transfer can proceed, subject to the franchisor's prior written approval and the satisfaction of all applicable conditions.