If the Beggars Pizza agreement is assigned or transferred, who is bound by it?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
General: In the event of the invalidity or unenforceability of any portion or provision of this Agreement, the parties agree that to such extent only such portions or provisions are to be severed herefrom, and that such invalidity or unenforceability shall not affect the validity or enforceability of the remaining portions or provisions of this Agreement which shall remain in full force and effect. SpeedLine or the Customer may not change, waive, modify, or amend this Agreement, except as specifically provided in this Agreement or by written agreement signed by both parties. This Agreement may be signed by the parties in counterparts which when taken together will constitute one Agreement. The signatures of either party to this Agreement or on any communication relating to this Agreement may be sent by facsimile or other electronic transmission, and when so received will be treated in the same manner as an originally executed Agreement or communication. The Agreement may not be transferred or assigned in whole or in part in any manner directly or indirectly by the Customer without the prior written consent of SpeedLine. If the Agreement or the Software is assigned or transferred or sub-licensed, the Agreement will be binding on the Software recipient. The Agreement may be assigned by SpeedLine. The laws of the Province of British Columbia govern this Agreement. All actions, suits or proceedings shall be brought and prosecuted by the Customer in the Province of British Columbia, and may be brought and prosecuted by SpeedLine in the Province of British Columbia or elsewhere where the Customer has a presence, and the Customer hereby submits to the jurisdiction of the courts of the Province of British Columbia and waives any objections as to venue in such courts. SpeedLine shall not be responsible for failure to perform its obligations under this Agreement due to causes beyond its control. In the Agreement, words in the singular include the plural and the masculine includes the feminine and neuter and vice versa. If the Customer is more than one person, firm, corporation or other entity, the liability of the Customer hereunder is both joint and several.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to the 2025 Beggars Pizza Franchise Disclosure Document, if the SpeedLine agreement or the software is assigned, transferred, or sub-licensed, the agreement will be binding on the software recipient. This means that if a Beggars Pizza franchisee sells their franchise and the associated software license to a new owner, the new owner will be legally obligated to adhere to the terms of the original agreement.
This clause ensures that the terms and conditions of the agreement remain in effect even if the franchise changes ownership. For a prospective Beggars Pizza franchisee, this implies that if they purchase an existing franchise, they should carefully review the original agreement to understand their obligations.
It is also important to note that the agreement may not be transferred or assigned in whole or in part by the customer (franchisee) without the prior written consent of SpeedLine. However, SpeedLine can assign the agreement without the franchisee's consent. This condition is typical in franchising, as it allows the franchisor to maintain control over its brand and standards, even in cases of ownership transfer.