What is the definition of 'Immediate Family Member' in the context of Beehive Homes franchise transfers?

According to Beehive Homes' 2025 Franchise Disclosure Document, an "Immediate Family Member" is explicitly defined as a spouse, parent, or child. This definition is relevant in the context of franchise transfers, particularly in situations involving trust transfers or transfers upon death of the franchisee or an equity owner.

Specifically, Beehive Homes permits the transfer of an equity interest to a grantor trust, provided that the transferor (or the transferor and their spouse) are the sole trustees and the transferor and their immediate family members are the sole beneficiaries. This allows for estate planning and wealth transfer within the family. Additionally, upon the death of a franchisee or equity owner, the equity interest may be transferred to an immediate family member or a legal entity owned by them, subject to certain conditions.

The conditions for transfer upon death include the immediate family member meeting Beehive Homes' requirements for new franchisees within six months of the death and signing the then-current franchise agreement and guarantee agreement. This ensures that the successor is qualified and committed to operating the franchise according to Beehive Homes' standards. The definition of "Immediate Family Member" is therefore crucial in determining who qualifies for these specific transfer provisions, offering a pathway for keeping the franchise within the family under defined circumstances.