What conditions must be met for Bevaris Alliance to approve a transfer of a Bevaris Alliance franchise?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| which must be approved by us. | ||
| l. 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 approval of transfer | Section 16.11 | Transferee approved by us, transfer fee paid, transferee not competitor, your account is current, you sign a release, transferee signs all documents, lender consents, and subordination agreements. |
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 franchisor has the right to approve all franchise transfers, which are subject to the provisions outlined in the Franchise Agreement. Specifically, Section 16.11 details the conditions that must be met for Bevaris Alliance to approve a transfer.
These conditions include ensuring that the transferee is approved by Bevaris Alliance. Additionally, the transferor must pay a transfer fee. The transferee must not be a competitor of Bevaris Alliance. The franchisee's account with Bevaris Alliance must be current at the time of the transfer. The franchisee must sign a release as part of the transfer process.
Furthermore, the transferee is required to sign all necessary documents to complete the transfer. If there is a lender involved, the lender's consent is required for the transfer to proceed. Finally, all relevant subordination agreements must be in place for Bevaris Alliance to grant final approval of the franchise transfer.