Does Big Air Trampoline Park have to seek approval from the franchisee to sell its securities publicly?
Big_Air_Trampoline_Park Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee acknowledges and agrees that Franchisor may sell its assets, the Marks or the System to any third party of Franchisor's choice; may offer its securities privately or publicly; may merge with or acquire other business entities or be acquired by another business entity; may permit and participate in any transfer or distribution of its securities in connection with a spin-off; may undertake a refinancing, recapitalization, leveraged buyout, or other economic or financial restructuring; or may terminate or cease to exist or dissolve, in any such case without Franchisee's consent and, provided the transferee expressly assumes and undertakes to perform Franchisor's obligations in all material respects, do so free of any responsibility or liability whatsoever to Franchisee after the transaction occurs.
- 15.3 With regard to any of the above sales, assignment and dispositions, Franchisee expressly and specifically waives any claims, demands, or damages against Franchisor arising from or related to the transfer of the Marks, assets or the System from Franchisor to any other party.
Source: Item 23 — RECEIPT (FDD pages 53–255)
What This Means (2025 FDD)
According to Big Air Trampoline Park's 2025 Franchise Disclosure Document, Big Air Trampoline Park does not need to seek approval or consent from its franchisees to offer its securities privately or publicly. Big Air Trampoline Park retains the right to sell its assets, trademarks, or the franchise system to any third party it chooses.
Big Air Trampoline Park can also merge with or acquire other businesses, be acquired by another entity, participate in security transfers related to a spin-off, undertake refinancing or restructuring, or even terminate or dissolve the business without needing the franchisee's consent. The only condition is that the new entity assuming control must agree to fulfill Big Air Trampoline Park's obligations in all significant aspects of the franchise agreement.
Furthermore, franchisees explicitly waive any right to make claims or seek damages from Big Air Trampoline Park related to the transfer of trademarks, assets, or the system to another party. This clause emphasizes that Big Air Trampoline Park has broad latitude in its business dealings without requiring franchisee approval.