Is it considered a transfer if a trust beneficiary receives the Beyond Juicery Eatery franchise?
Beyond_Juicery_Eatery Franchise · 2025 FDDAnswer from 2025 FDD Document
Transfer – the sale, assignment, conveyance, license, devise, bequest, receipt by a trust beneficiary, pledge, mortgage or other encumbrance, whether direct or indirect, of (i) this Agreement; (ii) any or all of your rights or obligations herein; or (iii) any interest in any equity interest, including the issuance of any new equity interests.
Source: Item 23 — RECEIPTS (FDD pages 60–337)
What This Means (2025 FDD)
According to the 2025 Beyond Juicery Eatery Franchise Disclosure Document, the receipt of the franchise by a trust beneficiary is considered a transfer. This definition is important for prospective franchisees to understand, as transfers typically require franchisor approval and may involve transfer fees.
This means that if a Beyond Juicery Eatery franchisee has placed their franchise in a trust and a beneficiary receives the franchise rights, it will be treated as a transfer under the franchise agreement. The franchisor's consent would be needed, and the beneficiary would have to meet the franchisor's qualifications for franchisees. This ensures that the new operator is capable of maintaining the brand's standards.
It is important for franchisees to carefully consider these implications when planning their estate or business succession. They should discuss with Beyond Juicery Eatery the specific requirements and procedures for transferring a franchise to a trust beneficiary to ensure compliance with the franchise agreement and avoid any unexpected complications or costs.