What rights are being assigned by the Assignor to the Assignee on the Effective Date for the Beehive Homes franchise?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Assignment and Consent to Assignment of Franchise to a | ||
|---|---|---|
| [Corporation/Partnership/Limited Liability Company], dated, 2025 | ||
| ("Assignment"), is by and among | "Assignor"); [Corporation/Partnership/LLC Name], a [corporation/partnership/limited liability company] ("Assignee"); and those | BEE HIVE HOMES, INC., a Utah corporation ("Bee Hive Homes"); and (collectively, the |
| [shareholders/partners/members] | of Assignee (individually ["Shareholder"/"Partner"/"Member"] and collectively ["Shareholders"/"Partners"/"Members"]) listed on Exhibit A attached hereto and | |
| incorporated herein by reference. | Recitals | |
| (the "Franchise"). | A. Bee Hive Homes or its predecessor in interest issued to Assignor or its predecessor(s) in interest a Franchise Agreement dated (the "Franchise Agreement"), for the Bee Hive Homes Franchise located at | |
| Assignee. | B. Assignor requests Bee Hive Homes' consent to transfer the rights in the Franchise to | |
| Homes' consent to this Assignment is required under the terms of the Franchise Agreement. Agreement | C. Assignor, Assignee, and [Shareholders/Partners/Members] acknowledge that Bee Hive | |
| as follows: | The parties, intending to be legally bound and for good and valuable consideration, agree 1. The effective date of this Assignment is ("Effective Date"). | |
| Agreement and this Assignment. | 2. Bee Hive Homes consents to this Assignment subject to the provisions of the Franchise | |
| Assignor in the Franchise to Assignee, subject to the provisions of the Franchise Agreement. | 3. On the Effective Date, Assignor assigns and transfers all the right, title, and interest of |
Assignee must pay all fees and perform all obligations under the Franchise Agreement.
Assignor agrees to remain personally bound by, and personally liable for the breach of, each and every provision of the Franchise Agreement, both monetary obligations and obligations to take or refrain from taking specific actions or to engage or refrain from engaging in specific activities, and is not released from any obligations to Bee Hive Homes by this Assignment. After the date of this Assignment, all references to Franchisee in the Franchise Agreement shall refer to both Assignor and Assignee both jointly and severally.
[Alternate paragraph to be used for Assignment to Corporation.]
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- Without the prior written consent of Bee Hive Homes, Assignor, Assignee, and Shareholders may not, either voluntarily or by operation of law, make or permit:
- a) any further transfer or assignment of the Franchise or the Franchise Agreement;
- b) any pledge or encumbrance of the Franchise;
- c) any assignment, transfer, or pledge of any equity interest in Assignee including, but not limited to, transfers in any entity that is a Shareholder;
- d) the creation of new or additional equity interests in Assignee; or
- e) any amendment of the terms of any organizational documents relating to Assignee.
Equity interests, as used in this Assignment, include direct or indirect equity or beneficial interests in Assignee and the business risks associated with the Franchise including, but not limited to, interests stated as debt that include any type of risk-taking interest or any interest in the profits or appreciation of the Home.
[Alternate paragraph to be used for Assignment to Partnership.]
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, on the Effective Date, the Assignor transfers all rights, title, and interest in the Beehive Homes franchise to the Assignee, subject to the provisions outlined in the Franchise Agreement. This transfer is contingent upon Beehive Homes' consent, as required by the terms of the Franchise Agreement. The consent is subject to the conditions and provisions specified within the Franchise Agreement itself.
Despite the assignment, the Assignor remains personally bound by and liable for any breaches of the Franchise Agreement. This includes both monetary obligations and the responsibility to take or refrain from specific actions. After the assignment date, all references to the Franchisee in the original Franchise Agreement will refer to both the Assignor and the Assignee, holding them jointly and severally responsible.
Furthermore, without prior written consent from Beehive Homes, the Assignor, Assignee, and any associated Shareholders, Partners, or Members cannot make or permit any further transfer or assignment of the franchise, pledge or encumber the franchise, transfer any equity interest in the Assignee, create new equity interests in the Assignee, or amend any organizational documents related to the Assignee. These restrictions ensure that Beehive Homes maintains control over the franchise and its operation, even after the initial assignment.