How long does Bath Tune Up have to respond to a franchisee's notice of a proposed transfer?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) Franchisee will deliver to Franchisor a written notice setting forth (i) all of the terms and conditions of any bona fide offer relating to a proposed Assignment by Franchisee, and (ii) all available information concerning the proposed assignee of the interest proposed to be subject to a Transfer.
- (b) Within ten days after Franchisor's receipt of the notice (or if Franchisor requests additional information, within ten days after receipt of the additional information), Franchisor may either consent or withhold its consent to the Transfer, in accordance with Section 9.2 or, at its option, may accept the Transfer itself or on behalf of its nominee upon the terms and conditions specified in the notice.
- (c) If Franchisor elects not to exercise the right of first refusal and consents to the Transfer, Franchisee will for a period of 90 days, and subject to the provisions of Section 9.2, be free to complete the proposed Transfer upon the terms and conditions specified in the notice. If, however, the terms are materially changed, or if the 90-day period expires, Franchisor will again have the right of first refusal with respect to the offer and Franchisee will again be required to comply with Section 9.3(a) above.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2025 FDD)
According to Bath Tune Up's 2025 Franchise Disclosure Document, if a franchisee intends to assign their franchise, they must provide Bath Tune Up with a written notice that includes all terms and conditions of the proposed assignment, as well as all available information about the potential assignee.
Within ten days of receiving this notice, or within ten days of receiving any additional information requested by Bath Tune Up, the company has the option to either consent to or withhold consent for the transfer. Alternatively, Bath Tune Up may choose to accept the transfer themselves or designate a nominee to do so, based on the terms and conditions outlined in the franchisee's notice.
If Bath Tune Up decides not to exercise its right of first refusal and consents to the transfer, the franchisee is then free to complete the transfer within a 90-day period, provided the terms and conditions remain the same. If the terms are materially changed or the 90-day period expires, Bath Tune Up reserves the right to a new first refusal opportunity, requiring the franchisee to again comply with the initial notification requirements.