What does the Beverly Anns Cookie franchisee agree to do regarding registering and titling the equipment?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
n MOBILE COOKIE COMPANY, LLC, a Delaware limited liability company ("Franchisor") and [Entity Name], d/b/a ["DBA Name"], a(n) [state] [type of entity] ("Franchisee") (each, a "Party" and together, the "Parties").
BACKGROUND
- A. Franchisor and Franchisee are parties to a Franchise Agreement ("Franchise Agreement") [dated/dated as of] 7/17/2025as a result of an approved transfer of a franchised business of Franchisor ("Franchised Business").
- B. Franchisor and Franchisee desire to amend the Franchise Agreement to reflect Franchisee's status as a transferee franchisee for the Franchised Business.
- C. All capitalized terms not otherwise defined in this Transfer Addendum shall have the meanings set forth in the Franchise Agreement.
AGREEMENT
NOW, THEREFORE, in consideration of the mutual covenants and promises of the parties and subject to the following terms and conditions, it is agreed as follows:
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- Franchisor and Franchisee agree that because the Franchised Business is already open and operating and being acquired via a transfer, Franchisee and Franchisor shall be relieved of performing certain pre-opening and development obligations set forth in the Franchise Agreement. Specifically:
- a. Franchisee has already acquired the truck and, if applicable, additional equipment ("Assets") under Section 13.13 of the Franchise Agreement upon transfer of the Franchised Business. Section 13.13 of the Franchise Agreement is hereby amended accordingly. If any equipment is required for the Assets as set forth in Section 13.13 of the Franchise Agreement, Franchisee agrees to purchase such items from Franchisor prior to operating the Assets.
- b. Because Franchisee is a transferee franchisee, Franchisee shall not be required to pay the Initial Franchise Fee.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
The 2025 Beverly Anns Cookie Franchise Disclosure Document does not specify the franchisee's obligations regarding registering and titling equipment. The document does mention that the franchisee has already acquired the truck and additional equipment if acquiring an already operating franchise. It also states that the franchisee must purchase any required equipment from the franchisor before operating the assets. However, it does not provide details on registering or titling that equipment.
It is common practice for franchisees to be responsible for registering and titling vehicles and equipment necessary for their business operations. This ensures compliance with local and state laws and regulations. The lack of specific information in the FDD regarding this process could be an oversight or an indication that these responsibilities are covered in a separate agreement or manual.
Prospective Beverly Anns Cookie franchisees should clarify with the franchisor the exact procedures and responsibilities for registering and titling any vehicles or equipment used in the franchise. This includes understanding who is responsible for ensuring compliance with all applicable laws and regulations, as well as any associated costs.