Is the franchisee required to reimburse Big Blue Swim School's costs during the relocation process?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
We have no obligation to grant you a successor franchise if you wish to relocate the School or no longer have the right to occupy the School at its original site.
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
The 2025 Franchise Disclosure Document for Big Blue Swim School does not explicitly state whether a franchisee is required to reimburse Big Blue Swim School's costs during a relocation process. However, the document does state under Section 18 that Big Blue Swim School has no obligation to grant a successor franchise if the franchisee wishes to relocate the school. This implies that relocation is possible, but it is not guaranteed through a successor franchise agreement.
While the FDD does not directly address relocation reimbursement, it does state that if a franchisee fails to remove proprietary materials or de-identify the school after the agreement expires and Big Blue Swim School takes action to do so, the franchisee must reimburse Big Blue Swim School for those costs. This highlights a scenario where the franchisee is responsible for covering certain expenses incurred by Big Blue Swim School.
Because the FDD does not provide specific details regarding relocation costs, a prospective Big Blue Swim School franchisee should seek clarification from the franchisor about the conditions under which relocation is permitted, who bears the costs associated with relocation, and whether there are any specific reimbursement obligations to Big Blue Swim School during such a process. Understanding these potential costs is crucial for financial planning and assessing the overall feasibility of the franchise investment.