What must the transferee enter into to assume the Multi-Unit Developer's obligations for Big Air Trampoline Park?
Big_Air_Trampoline_Park Franchise · 2025 FDDAnswer from 2025 FDD Document
- (iv) The transferee must enter into a written assignment, under seal and in a form satisfactory to Franchisor, assuming and agreeing to discharge all of the Multi-Unit Developer's obligations under the relevant Franchise Agreements and, if deemed necessary by Franchisor, the transferee's principals, individually, shall guarantee the performance of all these obligations in writing in a form satisfactory to Franchisor;
Source: Item 23 — RECEIPT (FDD pages 53–255)
What This Means (2025 FDD)
According to Big Air Trampoline Park's 2025 Franchise Disclosure Document, a transferee must enter into a written assignment to assume the Multi-Unit Developer's obligations. This assignment must be under seal and in a form satisfactory to Big Air Trampoline Park. The transferee must agree to discharge all of the Multi-Unit Developer's obligations under the relevant Franchise Agreements.
Furthermore, if Big Air Trampoline Park deems it necessary, the transferee's principals must individually guarantee the performance of all these obligations in writing, using a form that is satisfactory to the franchisor. This ensures that the obligations of the Multi-Unit Developer are fully transferred and secured by both the transferee and potentially their principals.
This requirement protects Big Air Trampoline Park by ensuring that any new party taking over a Multi-Unit Development Agreement is fully committed to fulfilling the existing obligations. It also provides an additional layer of security through the potential personal guarantees of the transferee's principals, which is a fairly standard practice in franchising when dealing with significant financial and developmental commitments.