How long does Bhc have to notify the franchisee of the approval or disapproval of the proposed assignment after receiving all necessary information?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) Within 60 days after the receipt of all necessary information and documentation required pursuant to section 12.2(b) above, or as specified by other written agreement between Franchisor and Master Franchisee, Franchisor will notify Master Franchisee of the approval or disapproval of the proposed Assignment by Master Franchisee.
The notice will be in writing and delivered to Master Franchisee by business courier in accordance with section 16.1 hereof.
Should Franchisor elect not to exercise Franchisor's right of first refusal, or should such right of first refusal be inapplicable, as herein provided, Franchisor's consent to the proposed Assignment by Master Franchisee will be deemed approved, unless disapproved by Franchisor in writing and for reasons permitted by the law governing this Agreement.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, Bhc will notify the Master Franchisee of the approval or disapproval of a proposed assignment within 60 days after receiving all necessary information and documentation. This notification will be in writing and delivered via business courier.
This means that if a Master Franchisee decides to sell or transfer their franchise, Bhc has up to 60 days to review the proposed assignment once they have received all required documents. This timeframe allows Bhc to thoroughly assess the potential new Master Franchisee and ensure they meet the brand's standards.
If Bhc does not exercise its right of first refusal, and this right is inapplicable, then Bhc's consent to the proposed assignment will be deemed approved, unless disapproved by Bhc in writing for legally permissible reasons. This clause protects the Master Franchisee by setting a deadline for Bhc's decision and providing a default approval mechanism if Bhc fails to act within the specified timeframe.