What actions must a Baya Bar franchisee take regarding Telephone Companies upon termination of the Franchise Agreement?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
- 2.3.2 direct all telephone companies, telephone directory publishers, and telephone directory listing agencies (collectively, the "Telephone Companies") with which Franchisee has Telephone Listings: (i) to transfer all Franchisee's interest in such Telephone Listings to Franchisor; and (ii) to execute such documents and take such actions as may be necessary to effectuate such transfer.
In the event Franchisor does not desire to accept any or all such Telephone Listings, Franchisee will immediately direct the Telephone Companies to terminate such Telephone Listings or will take such other actions with respect to the Telephone Listings as Franchisor directs.
Source: Item 22 — CONTRACTS (FDD page 56)
What This Means (2024 FDD)
According to Baya Bar's 2024 Franchise Disclosure Document, upon termination of the Franchise Agreement, a franchisee is required to take specific actions regarding telephone listings. The franchisee must direct all telephone companies, telephone directory publishers, and telephone directory listing agencies with which the franchisee has telephone listings to transfer all of the franchisee's interest in those listings to Baya Bar.
Additionally, the franchisee must execute all necessary documents and actions to effectuate this transfer. If Baya Bar does not want to accept any or all of the telephone listings, the franchisee is obligated to direct the telephone companies to terminate the listings or take any other actions that Baya Bar directs regarding the telephone listings.
To ensure compliance, Baya Bar is granted the power of attorney to act on behalf of the franchisee to execute and deliver any documents necessary to accomplish the purposes of the agreement. This ensures that Baya Bar can manage the transfer or termination of telephone listings effectively after the termination of the franchise agreement.