Who appoints the appraisers if the parties cannot agree on the cash consideration for a Bambu franchise transfer?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
If the parties cannot agree within a reasonable time on the cash consideration, such fair market value will be determined by three independent appraisers who collectively will conduct one appraisal.
Bambu will appoint one appraiser, Franchisee will appoint one appraiser and those appraisers will appoint the third appraiser.
Bambu and Franchisee will select their respective appraisers within 15 days after Bambu notifies Franchisee that Bambu is exercising the right of first refusal under this Section 17.4.
The two appraisers will appoint the third appraiser within 15 days after the date on which the last of the appointed appraisers is appointed.
Bambu and Franchisee will each bear the cost of their own appraiser and share equally the fees and expenses of the third appraiser.
Bambu and Franchisee will instruct the three appraisers to complete the appraisal within 30 days after the third
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, if Bambu exercises its right of first refusal to purchase a franchise and the parties cannot agree on the cash consideration, the fair market value will be determined by three independent appraisers. Bambu will appoint one appraiser, the franchisee will appoint another, and those two appraisers will then appoint the third appraiser.
Bambu and the franchisee must select their respective appraisers within 15 days after Bambu notifies the franchisee that it is exercising its right of first refusal. The two chosen appraisers then have 15 days to appoint the third appraiser.
Bambu and the franchisee will each bear the cost of their own appraiser, and they will share equally the fees and expenses of the third appraiser. The three appraisers are instructed to complete the appraisal within 30 days after the third appraiser's appointment. This process ensures an independent valuation of the franchise in case of disagreement during a transfer.