How can the Bigfoot Forestry franchise agreement be changed?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
19. TRANSFERS
- 19.1. By Us. This Agreement is fully assignable by us (without prior notice to you) and shall inure to the benefit of any assignee(s) or other legal successor(s) to our interest in this Agreement, provided that we shall, subsequent to any such assignment, remain liable for any obligations incurred by us prior to the effective date of the assignment. We may also delegate our obligations under this Agreement to one or more Persons without assigning the Agreement.
- 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)
Based on the 2025 Franchise Disclosure Document, the Bigfoot Forestry franchise agreement can be changed through transfer of the agreement by either Bigfoot Forestry or the franchisee. Bigfoot Forestry can fully assign the agreement without prior notice to the franchisee, and the assignment will benefit any assignee or legal successor. However, Bigfoot Forestry will remain liable for any obligations incurred before the assignment's effective date. Bigfoot Forestry can also delegate its obligations without assigning the agreement.
For a franchisee to transfer the agreement, the rights and duties are personal to the franchisee and the owners, based on their character, skills, attitude, business ability, and financial resources. Because it is a personal services contract, the franchisee or any owner cannot engage in a transfer without prior approval from Bigfoot Forestry, unless it is a Permitted Transfer. A transfer without approval is considered void and a breach of the agreement.
Bigfoot Forestry will not unreasonably withhold approval of a proposed transfer if certain conditions are met. These conditions include Bigfoot Forestry believing the proposed transferee has sufficient business experience, aptitude, and financial resources and meets the minimum criteria for franchisees. Additionally, the franchisee, their affiliates, and owners must be in full compliance with all Definitive Agreements. The transferee's owners must also successfully complete the initial training program or make arrangements to attend, and the transferee must pay any applicable training fee. Finally, the transferee and its owners must obtain all licenses and permits required by applicable law to own and operate the Bigfoot Forestry Business, and the transferee must agree to guarantee and perform the franchisee's obligations under the agreement.