What form must a Bft franchisee and its related parties sign to transfer the franchise?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
(except in those cases set forth at the end of this Section where only an administrative fee is charged), as well as any applicable broker fees due in connection with the transaction; (2) Franchisee and its related parties sign a prescribed form of general release in favor of Franchisor and its related parties in a form acceptable to Franchisor; (3) the proposed transferor and transferee and their respective owners must execute a form of consent to transfer pursuant to which, at Franchisor's option, either (a) transferee agrees to execute Franchisor's then-current form of franchise agreement that will then govern the balance of the Term, or (b) this Agreement is assigned to and assumed by the proposed transferee;
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, a Bft franchisee and its related parties must sign a prescribed form of general release in favor of Bft and its related parties when transferring the franchise. This release must be in a form acceptable to Bft. Additionally, the proposed transferor and transferee, along with their respective owners, must execute a form of consent to transfer.
This requirement ensures that Bft is protected from any potential claims or liabilities that may arise from the transfer of the franchise. By signing a general release, the franchisee and its related parties waive any rights to sue Bft or its affiliates in connection with the franchise. The consent to transfer further solidifies the agreement between all parties involved in the transfer process.
Furthermore, the document states that at Bft's option, the transferee must agree to execute Bft's then-current form of franchise agreement that will then govern the balance of the Term, or this Agreement is assigned to and assumed by the proposed transferee. This ensures that the new franchisee is bound by the current terms and conditions of the franchise agreement, or that the existing agreement is properly assigned and assumed. These measures are typical in franchising to maintain consistency and protect the franchisor's interests during ownership changes.