Why are the owners of a Beverly Anns Cookie franchise required to enter into the Franchise Owner Agreement?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
The transferee and its owners sign our then-current form of franchise agreement and related
documents, including, but not limited to, our then-current form of Franchise Owner Agreement or other guaranty (unless we, in our sole discretion, instruct you to assign this Franchise Agreement to the transferee), except that: (i) the Term and successor term(s) shall be the Term and successor term(s) remaining under this Franchise Agreement; and (ii) the transferee does not need to pay a separate initial franchise fee.
Source: Item 23 — RECEIPTS (FDD pages 57–235)
What This Means (2025 FDD)
According to the 2025 Beverly Anns Cookie Franchise Disclosure Document, when a franchise is transferred, the transferee and their owners are required to sign the then-current form of the Franchise Owner Agreement. This requirement can be waived at Beverly Ann's Cookie's discretion, instructing the franchisee to assign the existing Franchise Agreement to the transferee instead.
This condition does not apply to the term or successor terms remaining under the original Franchise Agreement, nor does the transferee have to pay a separate initial franchise fee. This ensures that the new owner is bound by the current standards and obligations of the Beverly Anns Cookie franchise system.
This requirement is part of the transfer process, which also includes providing the transferee with the current franchise disclosure document and obtaining a general release from the transferring franchisee and their owners. The Franchise Owner Agreement ensures that all parties are aligned with the current franchise terms and conditions, maintaining consistency across the Beverly Anns Cookie franchise network.