What is the stated consideration for Bigfoot Forestry's consent to the transfer of the Franchise Agreement?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
ment agreement (unless we, in our sole discretion, instruct you to assign this Agreement to the transferee) except that: (i) the Term shall be the Term remaining under this Agreement; (ii) the transferee need not pay a separate development fee; and (iii) the Development Schedule and Development Territory shall be the same Development Schedule and Development Territory specified in this Agreement (modified to reflect the development obligations satisfied prior to the Transfer);
- (e) you or the transferee pay us a $10,000 transfer fee (in addition to the transfer fee, you must reimburse us for any commission we pay our broker if our broker finds the transferee);
- (f) you assign all Franchise Agreements to the transferee in accordance with the transfer provisions under each such Franchise Agreement, including payment of any transfer fee imposed under each such Franchise Agreement;
- (g) you and your Owners sign a General Release;
- (h) we choose not to exercise our right of first refusal described in §7.5; and
- (i) you or the transferring Owner, as applicable, and the transferee satisfy all other conditions we reasonably require as a condition to our approval of the Transfer.
You may not: (a) transfer less than all development rights remaining under this Agreement (i.e., you may not retain the right to develop any Bigfoot Forestry Business); or (b) transfer your development rights to multiple transferees. Our consent to a Transfer shall not constitute a waiver of any Claims we may have against the transferor or our right to demand the transferee comply with all terms of the area development agreement.
- 7.3. Permitted Transfers. You may engage in a Permitted Transfer without our prior approval,
Source: Item 23 — RECEIPT (FDD pages 42–162)
What This Means (2025 FDD)
According to Bigfoot Forestry's 2025 Franchise Disclosure Document, in order to transfer a franchise agreement, you or the transferee must pay a $10,000 transfer fee. In addition to the transfer fee, you must reimburse Bigfoot Forestry for any commission they pay their broker if their broker finds the transferee. You must also assign all Franchise Agreements to the transferee in accordance with the transfer provisions under each such Franchise Agreement, including payment of any transfer fee imposed under each such Franchise Agreement.
Furthermore, both you and your Owners must sign a General Release, and Bigfoot Forestry must choose not to exercise their right of first refusal. Finally, you or the transferring Owner, as applicable, and the transferee must satisfy all other conditions Bigfoot Forestry reasonably requires as a condition to their approval of the Transfer.
It is important to note that you cannot transfer less than all development rights remaining under the Agreement, meaning you cannot retain the right to develop any Bigfoot Forestry Business, nor can you transfer your development rights to multiple transferees. Bigfoot Forestry's consent to a Transfer does not constitute a waiver of any Claims they may have against the transferor or their right to demand the transferee comply with all terms of the area development agreement.
However, you may engage in a Permitted Transfer without Bigfoot Forestry's prior approval, but you must give them at least 10 days' prior notice. Upon their request, you must cause the former Developer Entity to sign a corporate guarantee in the format they require to secure performance of the new Developer Entity's financial obligations under all Definitive Agreements if the Permitted Transfer results in a new Developer Entity. You and the Owners (and the transferee) agree to sign all documents Bigfoot Forestry reasonably requests to effectuate and document the Permitted Transfer.