How is the effective date of the asset transfer back to Aunt Millies Bakeries determined?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
DISTRIBUTOR must notify AUNT MILLIE'S in writing within the one year Buy Back period and at least thirty days prior to exercising the rights under this Agreement. DISTRIBUTOR shall then, by execution of a Bill of Sale, General Release of claims, and, if applicable, the appropriate documents to effect an assignment of lease or sublease of the vehicle, transfer to AUNT MILLIE'S good and marketable title to the Assets and lease rights, free and clear of all liens, security interests or encumbrances. The effective date of that transfer shall be set at the discretion of AUNT MILLIE'S but in no event more than thirty (30) days from receipt of notice.
Source: Item 23 — RECEIPT (FDD pages 44–196)
What This Means (2025 FDD)
According to Aunt Millies Bakeries's 2025 Franchise Disclosure Document, the effective date of the asset transfer from the distributor back to Aunt Millie's Bakeries is set at the discretion of Aunt Millie's Bakeries. However, this date cannot be more than thirty days from the date Aunt Millie's Bakeries receives notice from the distributor.
This buy-back agreement is valid for one year from the agreement's effective date. Within this period, the distributor has the right to sell the assets back to Aunt Millie's Bakeries. To initiate this process, the distributor must provide written notice to Aunt Millie's Bakeries at least thirty days before exercising their rights under the agreement.
To complete the transfer, the distributor must execute a Bill of Sale, a General Release of claims, and any necessary documents to assign the lease or sublease of a vehicle, if applicable. These documents ensure that Aunt Millie's Bakeries receives clear title to the assets and lease rights, free of any liens or encumbrances.