What must the transferee of a Big Air Trampoline Park franchise purchase from the franchisee?
Big_Air_Trampoline_Park Franchise · 2025 FDDAnswer from 2025 FDD Document
nce of its obligations under the agreements to be entered into;
(i) the proposed transferee shall have demonstrated to Franchisor's satisfaction that it, he or she will meet in all respects Franchisor's standards applicable to new franchisees regarding experience, personal and financial reputation and stability, willingness and ability to devote its, his or her full time and best efforts to the operation of the Big Air Trampoline Business, and any other conditions as Franchisor may reasonably apply in evaluating new franchisees. Franchisor must be provided with all information about the proposed transferee as Franchisor may reasonably require. Because of the confidential information and trade secrets available to a franchisee, no assignment to a competitor of Franchisor will be permitted; and
(j) the transferee paying all costs of Franchisor with respect to (i) the granting of its approval, as hereinbefore contemplated, including but not limited to all of its legal costs with respect to the preparation and execution of the above noted then-current form of Franchise Agreement, and all other documents then customarily used by Franchisor to grant franchises; and (ii) the transfer, including but not limited to, all professional fees (attorney's fees, broker fees, and the like), leasing expenses, brokerage commissions or fees, document preparation costs and due diligence.
15.8 Notwithstanding anything to the contrary herein contained, Franchisor shall, upon Franchisee's compliance with such requirements as may from time to time be prescribed by Franchisor (including the obtaining of all necessary approvals to the assignment of the Lease, if any, of the Big Air Trampoline Facility), consent to an assignment of Franchisee's right, title and interest in and to this Agreement, and the property and assets owned and used by Franchisee in connection therewith and any other agreement then in effect between Franchisee and Franchisor to a corporation, limited liability company or other business entity which is wholly owned and controlled by Franchisee, subject to the following (provided that such assignment shall in no way release Franchisee from any liability under this Agreement):
(a) Contemporaneously with such assignment and thereafter upon the appointment or election of any person as director, officer, partner or manager of such corporation, limited liability company or other business entity, such corporation, limited liability company, partnership or other business entity shall cause each shareholder, partner, member, manager, director(s) and officer(s) of the corporation, limited liability company, partnership or other business entity to execute a written agreement with Franchisor, personally guaranteeing full payment and performance of Franchisee's obligations to Franchisor and individually undertaking to be bound, jointly and severally, by all the terms of this Agreement or any new current form of Franchise Agreement and jointly and severally liable;
(b) No shares or interest in the capital of such corporation, limited liability company, partnership or other business entity shall be issued nor shall Franchisee directly or indirectly, voluntarily or involuntarily, by operation of law or otherwise, sell, assign, transfer, convey, donate, pledge, mortgage or otherwise encumber any such shares or interest or offer or attempt to do so or permit the same to be done without Franchisor's prior written consent;
Source: Item 23 — RECEIPT (FDD pages 53–255)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, the transferee in a Big Air Trampoline Park franchise transfer does not have to purchase anything directly from the franchisee. However, the transferee is responsible for paying all of Big Air Trampoline Park's costs associated with granting approval for the transfer. These costs include legal fees for preparing and executing the then-current Franchise Agreement and other customary documents.
Additionally, the transferee must cover all expenses related to the transfer itself. This includes professional fees such as attorney's fees and broker fees, leasing expenses, brokerage commissions or fees, document preparation costs, and due diligence expenses. These payments are made to third-party service providers and to Big Air Trampoline Park, not to the franchisee.
Furthermore, at Big Air Trampoline Park's option, the transferee must sign the standard form of Franchise Agreement and Multi-Unit Development Agreement then being offered to new Multi-Unit Developers, along with any other ancillary agreements Big Air Trampoline Park may require. The transferee may also be required to pay a transfer fee of $2,500 for each unopened Big Air Trampoline Facility to be transferred, and $10,000 for each Big Air Trampoline Facility which is open and operating at the time of transfer. These agreements supersede any prior agreements and may include different terms, such as other fees and different royalty rates. The Multi-Unit Developer and its principals must remain liable for all direct and indirect obligations to Big Air Trampoline Park in connection with the Big Air Trampoline Facilities before the effective date of transfer and will continue to remain responsible for their obligations of nondisclosure, noncompetition and indemnification as provided in the Franchise Agreements and Personal Guaranty.