Under what conditions can a Black Bear Diner franchisee relocate their Approved Location?

According to the 2025 Black Bear Diner Franchise Disclosure Document, a franchisee can relocate their Approved Location, but only with prior written approval from Black Bear Diner. Several conditions must be met for the relocation to be approved. First, the proposed new location cannot compete with any existing Black Bear Diner restaurant, whether it's operated by the franchisor or another franchisee. Second, the new location must be within the franchisee's Protected Area, which is defined elsewhere in the agreement as a three-mile radius from the Approved Location. Finally, the new location, including the real estate and building, must comply with all applicable provisions of the Franchise Agreement and align with Black Bear Diner's current image, decor, and specifications.

If Black Bear Diner approves the relocation, the franchisee is required to pay a Relocation Fee of $5,000 within 10 days of receiving the written approval. This fee likely covers Black Bear Diner's administrative and oversight costs associated with the relocation process. The relocation process ensures that the new location maintains the brand's standards and does not negatively impact other franchisees.

This policy is fairly standard in the franchise industry, as franchisors typically want to maintain control over location decisions to protect brand consistency and market share. The relocation fee is also a common practice to offset the franchisor's expenses in evaluating and approving the new site. A prospective Black Bear Diner franchisee should carefully consider these conditions and the associated costs before deciding to relocate their restaurant.