What condition must be met for B Bops to assign the development agreement?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Developer acknowledges that the rights and duties created pursuant to this Agreement are personal to Developer and its owners and that Company has granted the development rights in reliance upon the character, skill, business ability, financial capacity and attitude of Developer and its owners.
Therefore, without the prior written approval of Company, neither this Agreement nor the development rights (or any interest therein), nor any controlling ownership interest in Developer may be directly or indirectly, voluntarily or by operation of law, sold, assigned, conveyed, sublet, subfranchised or otherwise transferred (hereinafter collectively referred to as a "transfer") to any person or entity.
Under no circumstances will Developer be permitted to make any partial transfer of the development rights granted hereunder; any sale, assignment or transfer of this Agreement or the development rights shall require Developer to transfer all of Developer's right, title and interest in and to this Agreement and the development rights.
Company shall not unreasonably withhold its consent to any transfer when requested, provided that such transfer complies with the following requirements that may be applicable to the particular type of transfer:
Source: Item 23 — RECEIPTS (FDD pages 53–145)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the rights and duties within the development agreement are personal to the developer and its owners. B Bops has granted these development rights based on the developer's character, skills, business ability, financial capacity, and attitude.
Therefore, the developer cannot directly or indirectly sell, assign, convey, sublet, subfranchise, or otherwise transfer the agreement or development rights without B Bops's prior written approval. This includes any controlling ownership interest in the developer. Furthermore, any transfer of the development rights requires the developer to transfer all of their rights, titles, and interests in the agreement.
B Bops agrees to not unreasonably withhold consent to any transfer request, provided the transfer complies with requirements applicable to the specific type of transfer. These requirements include conditions for transfers to a successor entity, or in the event of death or disability of the developer. This ensures that B Bops maintains control over who is developing their franchises and that the new party meets their standards.