What does the Belocal franchise agreement state regarding the execution of further instruments and documents?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Further Assurances. Transferor, Transferor Principals, Transferee, and Transferee Principals hereby irrevocably agree to execute, deliver, or cause to be executed and delivered any and all other documents that may now or hereafter be necessary to consummate the transactions contemplated hereby, as reasonably requested by Franchisor.
L. Further Assurances. The parties shall promptly execute and deliver such further documents and take such further action as may be necessary in order to effectively carry out the intent and purposes of this Agreement.
Franchisee grants Franchisor full authority to act in any manner proper or necessary to the exercise of the forgoing powers,
including full power of substitution and execution or completion of any documents required or requested by any Provider to transfer or modify such Listings; and Franchisee ratifies every act that Franchisor may lawfully perform in exercising those powers. This power of attorney shall be effective for a period of two (2) years from the date of expiration or termination of Franchisee's rights under the Franchise Agreement for any reason. Franchisee intends that this power of attorney be coupled with an interest. Franchisee declares this power of attorney to be irrevocable and renounces all rights to revoke it or to appoint another person to perform the acts referred to in this instrument. This power of attorney shall not be affected by the subsequent incapacity of Franchisee. This power is created to secure performance of a duty to Franchisor and is for consideration.
The parties agree that at any time after the date hereof they will perform such acts and execute and deliver such documents as may be necessary to assist in or accomplish the assignment described herein upon any termination or expiration of the Franchise Agreement.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, several clauses within the franchise agreements address the execution of further documents. In the context of a transfer agreement, the transferor, their principals, the transferee, and their principals all agree to execute and deliver any documents that may be necessary to complete the transactions, as reasonably requested by Belocal. This ensures all parties cooperate in finalizing the transfer.
Similarly, in the standard franchise agreement, both parties are expected to promptly execute and deliver additional documents and take further actions to effectively fulfill the agreement's intent and purposes. This clause is a standard 'further assurances' provision, common in franchise agreements, designed to ensure that all parties cooperate to implement the agreement fully.
Additionally, Belocal is granted the authority to act on behalf of the franchisee, including executing or completing documents required by providers to transfer or modify listings. This power of attorney is effective for two years after the termination or expiration of the franchise agreement. This ensures Belocal can manage listings even after the franchise relationship ends, and the franchisee agrees to assist in accomplishing the assignment described upon termination or expiration of the Franchise Agreement.