Can the Bevaris Alliance agreement be modified?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
| Document download | |||
|---|---|---|---|
| Section in Franchise | |||
| Pr | ovision | Agreement | Summary which must be approved by us. |
| 1. | Bevaris approval of transfer | Section | We have the right to approve all transfers, which shall be |
| by franchisee | 16.11 | subject to the provisions of the Franchise Agreement. | |
| m. | Conditions for Bevaris | Section | Transferee approved by us, transfer fee paid, transferee |
| approval of transfer | 16.11 | not competitor, your account is current, you sign a release, transferee signs all documents, lender consents, and subordination agreements. | |
| n. | Bevaris' right of first refusal to acquire franchisee's business | Section 16.3 | Bevaris can match any offer for the purchase of Your franchise at Bevaris' option. |
| 0. | Bevaris' option to purchase Your business | Section 16.7 | Upon transfer, fair market value (but no value for goodwill), legal compliance, no assumption of your liabilities. |
| p. | Death or disability of franchisee | Section 17 | Franchise may be assigned by estate to approve transferee in three months. |
| q. | Non-competition covenants during the term of the franchise | Section 20.1 | You are prohibited from operating or having an interest in a similar business. |
| r. | Non-competition covenants after the franchise is terminated or expires | Section 20.1 | You are prohibited for 24 months from expiration or termination of the franchise from having a connection with a competing business. |
| s. | Modification of the | Not | No modifications generally, but the Bevaris Alliance |
| agreement | Applicable. | Manual is subject to change. Renewal or extension may subject franchisee to additional restrictions. | |
| t. | Integration/merger clause | Section 27.4 | Only the terms of the Franchise Agreement are binding. Any other oral or written promises are not enforceable; including anything set forth in this Disclosure Document. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 17–18)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, the franchise agreement generally cannot be modified. However, the Bevaris Alliance Manual is subject to change, which means that while the core agreement remains fixed, certain operational procedures or guidelines outlined in the manual can be altered by Bevaris Alliance. Additionally, franchisees should be aware that renewal or extension of the franchise agreement may subject them to additional restrictions.
This lack of modification flexibility is fairly common in franchising, as franchisors like Bevaris Alliance aim to maintain uniformity across all franchise locations. The ability to change the operations manual allows Bevaris Alliance to adapt to changing market conditions or improve system standards without renegotiating each individual franchise agreement.
Prospective franchisees should carefully review the scope of the Bevaris Alliance Manual and understand the types of changes that could be implemented. They should also consider the potential impact of additional restrictions upon renewal or extension of their franchise agreement. It is important to note that only the terms of the Franchise Agreement are binding, and any other oral or written promises are not enforceable, including anything set forth in the Disclosure Document.