factual

How long does Bhc have to respond to a franchisee's notice of a proposed assignment, including requesting additional information?

Bhc Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (c) Within 15 days after Franchisor's receipt of such notice (or if Franchisor requests additional information, within 10 days after receipt of such additional information), Franchisor may either (i) consent or withhold Franchisor's consent to such Assignment by Franchisee, in accordance with section 12.2 hereof, or (ii) at Franchisor's option, accept the Assignment by Franchisee itself or on behalf of Franchisor's nominee upon the terms and conditions specified in the notice.

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

What This Means (2025 FDD)

According to Bhc's 2025 Franchise Disclosure Document, Bhc has 15 days to respond to a franchisee's notice of a proposed assignment. This initial response can take one of two forms: Bhc may either consent to or withhold consent for the assignment, or Bhc may request additional information from the franchisee.

If Bhc requests additional information, the response timeline shifts. Bhc then has 10 days after receiving the additional information to either consent to or withhold consent for the assignment. This process allows Bhc to thoroughly evaluate the proposed assignment and the qualifications of the potential assignee.

This right of first refusal allows Bhc to maintain control over who enters their franchise system. It ensures that any new franchisee meets their standards and is a good fit for the brand. For a prospective franchisee, this means that selling their franchise is not guaranteed and is subject to Bhc's approval.

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.