Under what conditions can Beehive Homes withhold or withdraw approval for Site usage?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
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- If Assignor, Assignee, or any [Shareholder/Partner/Member] breaches any of the conditions, representations, agreements, or warranties contained in this Assignment, Bee Hive Homes will be entitled to all relief and remedies available by law, and to all relief and remedies granted to Bee Hive Homes by the Franchise.
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- Assignor has notified all of Assignor's lien holders and lenders of this Assignment.
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- All terms and conditions of the Franchise Agreement remain in full force and effect except as modified by this Assignment including, but not limited to, the terms and conditions of Paragraph 13.3(c) of the Franchise Agreement in the event of the death of Assignor.
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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, Beehive Homes can enforce remedies if the Assignor, Assignee, or any related party breaches any conditions, representations, agreements, or warranties within the assignment agreement. This includes all relief and remedies available by law and those granted to Beehive Homes by the Franchise Agreement.
Specifically, Beehive Homes retains the right to examine and copy records, books, financial documents, and tax returns of the Assignor, Assignee, or any related party to ensure compliance with the Franchise Agreement and the Assignment. This allows Beehive Homes to monitor adherence to the franchise terms and conditions.
Furthermore, if the Assignee's name includes any reference to "Bee Hive" or any Beehive Homes trademark, the Assignor and Assignee must change the name within 30 days of the agreement's effective date. Failure to do so could also result in Beehive Homes enforcing remedies. Additionally, Assignee and related parties must adhere to the Franchise Agreement provisions regarding the Beehive Homes System's maintenance and protection, including confidentiality and restrictions on involvement in similar businesses. A breach of this covenant constitutes a material breach, potentially leading to franchise termination.