What is the significance of the 'Effective Date' in the Beehive Homes Franchise Agreement?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
| , 2025 (the "Effective Date"), by and between BEE HIVE HOMES, |
|---|
| INC. (the "Franchisor"), a Utah corporation with an address at 3973 North Eagle Road, Boise, |
| Utah 83713; and, an individual |
| with an address at; |
| and, an individual |
| with an address at; |
| (being individually and collectively referred to herein as the "Franchisee"). |
| 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 |
XIX. ACKNOWLEDGMENT
Franchisee, including its Equity Owner(s), if applicable, jointly and severally hereby represent that they have received this Bee Hive Homes Franchise Agreement at least seven (7) calendar days before the date on which this Franchise Agreement is executed; acknowledge that at the time it was received it was complete in all material respects; acknowledge that they have read and understand all obligations being undertaken; acknowledge that they have had the opportunity to consult with their attorney and any other advisors with respect thereto; and acknowledge that they are entering into this Agreement as a result of their own independent investigation; and not as a result of any representations about the franchise made by us or any of our affiliates, associates, agents, representatives, independent contractors, or franchisees that are contrary to the terms set forth in this Agreement, or in the franchise disclosure document.
IN WITNESS WHEREOF, the parties hereto, being duly authorized, have executed this Agreement as of the Effective Date.
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- If Assignee's name or the name of any trust or entity with an equity interest in Assignee (collectively "Assignee's Name") contains any reference to "Bee Hive", "BeeHive", or any derivative thereof, or any other Bee Hive Homes trademark, then Assignor, Assignee, and [Shareholders/Partners/Members] covenant and agree (i) that they will cause Assignee's Name to be changed, within 30 days after the Effective Date, to delete any such reference without further consideration from Bee Hive Homes; (ii) that they will not challenge Bee Hive Homes use of any trade name, trademark, or internet domain name on the grounds that it: (a) is similar to Assignee's Name; (b) is likely to cause confusion; or (c) dilutes the value of the trade name; and (iii) that Assignee's Name shall not be used in connection with any trade or business conducted by Assignor, Assignee, or [Shareholders/Partners/Members] except the Bee Hive Homes Franchise business.
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, the 'Effective Date' marks the commencement of legal obligations and triggers certain actions for both the franchisor and franchisee. The Franchise Agreement itself is established 'as of' the Effective Date, signifying when the agreement comes into force.
For an assignment of the franchise, the effective date determines when the assignor transfers their rights to the assignee. Specifically, the assignor assigns all rights to the franchisee on the effective date of the assignment. If the assignee's name contains any reference to "Bee Hive", they covenant to change it within 30 days after the Effective Date.
Furthermore, the franchisee acknowledges receipt of the Beehive Homes Franchise Agreement at least seven days before the date on which the Franchise Agreement is executed, and in witness whereof, the parties execute the agreement as of the Effective Date. This date is therefore a critical reference point for determining various responsibilities and timelines within the franchise relationship.