factual

Can the Big Apple Bagels franchisor assign the franchise agreement?

Big_Apple_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

However, no assignment will be made except to an assignee who in good faith and judgment of the franchisor, is willing and financially able to assume the franchisor's obligations under the BAGELS Franchise Agreement.

Source: Item 23 — RECEIPTS (FDD pages 87–319)

What This Means (2025 FDD)

According to the 2025 Big Apple Bagels Franchise Disclosure Document, the franchisor can assign the franchise agreement. However, any assignment made by Big Apple Bagels will only be to an assignee who, in the good faith and judgment of Big Apple Bagels, is both willing and financially able to assume the franchisor's obligations under the franchise agreement.

This means that while Big Apple Bagels retains the right to transfer the agreement to another party, they must ensure that the new party is capable of fulfilling the obligations outlined in the original agreement. This provision protects franchisees by ensuring that the franchisor cannot simply assign the agreement to an unqualified or unstable entity.

This is a fairly standard clause in franchise agreements. It gives Big Apple Bagels flexibility in case of a merger, acquisition, or other event that might require assignment of the agreements, while also providing some assurance to franchisees that their agreement will not be transferred to an unsuitable party.

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.