What criteria must the proposed transferee meet to be approved by Bigfoot Forestry?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
- 19.2. By You. The rights and duties created by this Agreement are personal to you and the Owners. We are granting you franchise rights in reliance upon the character, skill, attitude, business ability and financial resources of you and your Owners. Because this Agreement is a personal services contract, neither you nor any Owner may engage in a Transfer (other than a Permitted Transfer) without our prior approval. Any Transfer (other than a Permitted Transfer) without our approval is void and constitutes a breach of this Agreement. We will not unreasonably withhold our approval of a proposed Transfer if all of the following conditions are satisfied:
- (a) we believe the proposed transferee has sufficient business experience, aptitude and financial resources to own and operate a Bigfoot Forestry Business and meets our minimum criteria for franchisees;
- (b) you and your affiliates and Owners are in full compliance with all Definitive Agreements;
- (c) the transferee's owners successfully complete, or make arrangements to attend, the initial training program and the transferee pays us any applicable training fee;
- (d) the transferee and its owners obtain all licenses and permits required by applicable Law to own and operate the Bigfoot Forestry Business;
- (e) the transferee: (i) agrees to guarantee and perform your obligations under this Agreement and
Source: Item 23 — RECEIPT (FDD pages 42–162)
What This Means (2025 FDD)
According to Bigfoot Forestry's 2025 Franchise Disclosure Document, a franchisee cannot transfer their rights and duties under the franchise agreement without prior approval from Bigfoot Forestry. Bigfoot Forestry will not unreasonably withhold approval of a proposed transfer if certain conditions are met.
First, Bigfoot Forestry must believe that the proposed transferee has sufficient business experience, aptitude, and financial resources to successfully operate a Bigfoot Forestry business. The transferee must also meet Bigfoot Forestry's minimum criteria for franchisees or area developers, depending on the type of franchise agreement. The current franchisee must be in full compliance with all existing agreements with Bigfoot Forestry.
Additionally, the transferee's owners must successfully complete the initial training program, or make arrangements to attend it, and pay any applicable training fees. The transferee and its owners must also obtain all necessary licenses and permits required by law to operate the Bigfoot Forestry business. Finally, the transferee must agree to guarantee and fulfill the current franchisee's obligations under the existing franchise agreement.