factual

What should a Bhc Master Franchisee include in a written request to relocate a Bhc Restaurant?

Bhc Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (a) If Master Franchisee or a Sublicensee desires to relocate the BHC Restaurant, Master Franchisee or Sublicensee may do so provided that not less than 90 days prior to the desired date of relocation (unless prior notice is impractical because of a required relocation in which event notice must be given as soon as possible), Master Franchisee makes a written request for consent to relocate, describing the reasons for the relocation and providing complete written details respecting any proposed new location.
  • (b) Within 20 business days after receiving Master Franchisee's request, Franchisor will either approve or disapprove in writing such closure or relocation. If Franchisor disapproves a proposed relocation, Master Franchisee may request an alternative proposed new location for Master Franchised BHC Restaurant pursuant to the provisions of this section 8.6.

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

What This Means (2025 FDD)

According to Bhc's 2025 Franchise Disclosure Document, if a Master Franchisee or Sublicensee wants to relocate a Bhc Restaurant, they must submit a written request to the Franchisor for consent to relocate. This request must be made at least 90 days before the intended relocation date, unless prior notice is impractical due to a required relocation, in which case notice must be given as soon as possible. The written request must describe the reasons for the relocation and provide complete written details regarding any proposed new location.

This requirement ensures that Bhc maintains control over its brand's locations and standards. By requiring detailed information about the reasons for relocation and the specifics of the new location, Bhc can assess whether the move is strategically sound and whether the new site meets its criteria for success. This protects both the brand's reputation and the investment of other franchisees.

Within 20 business days of receiving the Master Franchisee's request, Bhc will either approve or disapprove the relocation in writing. If Bhc disapproves of the proposed relocation, the Master Franchisee can request approval for an alternative new location. This process allows for negotiation and ensures that the Master Franchisee has the opportunity to find a suitable location that meets Bhc's requirements. This is a fairly standard practice in franchising, as franchisors typically want to maintain control over site selection to protect brand consistency and optimize market penetration.

Additionally, Bhc may require the Master Franchisee and the landlord to execute a rider to the lease for the new location. This rider would grant Bhc an option to assume the Master Franchisee's position as lessee if the Master Franchisee materially breaches the lease or the Franchise Agreement. It also grants Bhc the right to assign the lease to another franchisee and requires the landlord to cooperate with Bhc in de-identifying the restaurant if the agreement is terminated and Bhc does not exercise its option to assume the lease. This provision protects Bhc's interests in the event of a default or termination, ensuring that the location can continue to operate as a Bhc restaurant or be properly de-identified to avoid confusion.

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.