To whom must a B Bops franchisee submit a copy of the offer to purchase their franchise?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
of First Refusal. If Franchisee, or any partner, shareholder or member thereof, shall at any time determine to sell, convey or otherwise transfer the Franchise or any partner's, shareholder's or member's ownership interest in Franchisee which would be subject to the provisions of Section 19(C) hereof, Franchisee or such partner, shareholder or member shall obtain a bona fide, executed written offer from the proposed purchaser and shall submit an exact copy of such offer to Company. Company (or any affiliate of Company designated by Company) shall have the right and option, exercisable by written notice to Franchisee or such partner, shareholder or member thereof within thirty (30) days of the date of receipt by Company of a copy of such offer, to purchase the Franchise or such partner's, shareholder's or member's ownership interest in Franchisee for the price and on the same terms and conditions contained in such offer. Franchisee agrees to submit to Company such information regarding the operation of the Franchise as the Company may reasonably request in order to assist Company in determining whether to exercise its option. In the event Company (or any affiliate thereof) exercises its right of first refusal, closing of the transaction shall occur within one hundred twenty (120) days from the acceptance of such offer, unless otherwise agreed by the parties.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, if a franchisee or any of its owners (partner, shareholder, or member) decides to sell or transfer their franchise or ownership interest, they must first obtain a written offer from a potential buyer. The franchisee is then required to submit an exact copy of this offer to B Bops. This gives B Bops the right of first refusal, allowing them to purchase the franchise or ownership interest on the same terms as the offer.
B Bops has 30 days from the date they receive the offer to decide whether to exercise their right of first refusal. If B Bops decides to purchase the franchise, the closing of the transaction must occur within 120 days of accepting the offer, unless both parties agree to a different timeline.
If B Bops chooses not to exercise its right of first refusal, the franchisee is then permitted to proceed with the transfer to the proposed purchaser. However, this is still subject to the condition that the franchisee obtains B Bops's prior written consent for the transfer. This process ensures that B Bops maintains control over who becomes a franchisee and protects the integrity of the B Bops brand.