factual

Is the Bhc Franchisor's consent to one assignment by the Master Franchisee applicable to subsequent assignments?

Bhc Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisor's consent to a specific Assignment by Master Franchisee is not cumulative and will not apply to any subsequent assignments, in respect of each of which Master Franchisee must comply with this section 12.2.

Source: Item 23 — Receipts (FDD pages 52–230)

What This Means (2025 FDD)

According to Bhc's 2025 Franchise Disclosure Document, the franchisor's consent to one assignment by a Master Franchisee does not apply to subsequent assignments. The Master Franchisee must obtain written consent from Bhc for each assignment. This is because Bhc relies on the unique skills, qualifications, and trust it places in the Master Franchisee and their Principal Equity Operators when granting the franchise.

Prior to any assignment, the Master Franchisee must notify Bhc in writing of their intent to sell, transfer, or assign the franchise, including all or substantially all of the assets of the Bhc Restaurant, or a controlling or non-controlling interest in the Master Franchisee (if an entity). The notice must include the proposed transferee's name and address, copies of all agreements related to the sale, assignment, or transfer, and the proposed transferee's application for approval to become the successor Master Franchisee.

Any attempt by the Master Franchisee to assign the franchise in violation of these terms is void and constitutes a material breach of the agreement. This breach may result in immediate termination of the agreement and any other agreements between the Master Franchisee and Bhc, or its affiliates. Furthermore, it confers no rights or interest under the agreement to any other party. Upon Bhc's consent to an assignment, the Master Franchisee must ensure all accounts with Bhc are current and transfer all service agreements or contracts signed by customers to the assignee.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.