For a Beggars Pizza franchise, who is bound by the terms and conditions of the franchise agreement?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
The terms and conditions of this Agreement shall enure to the benefit of and be binding upon the parties hereto and their respective heirs, estates, legal representatives, successors and permitted assigns.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to the 2025 Beggars Pizza Franchise Disclosure Document, the terms and conditions of the franchise agreement are binding upon the parties to the agreement and their respective heirs, estates, legal representatives, successors, and permitted assigns. This ensures that the obligations and benefits outlined in the agreement extend not only to the original parties but also to those who may inherit or take over their interests.
This "enurement" clause is a standard legal provision designed to provide clarity and continuity in contractual relationships. For a prospective Beggars Pizza franchisee, this means that if they were to sell their franchise (with Beggars Pizza's permission) or pass it on to their heirs, the new owner would also be bound by the original franchise agreement. Similarly, Beggars Pizza's obligations would extend to any successor entity in the event of a merger or acquisition.
However, it's important to note that the specific terms governing assignment or transfer of the franchise are typically detailed elsewhere in the franchise agreement. A potential Beggars Pizza franchisee should carefully review those sections to understand the conditions under which they can transfer their rights and obligations, as well as any restrictions or requirements that may apply. This clause simply ensures that whoever holds the rights is also bound by the duties of the agreement.