What is the consequence of a transfer without Body20's consent?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
Any purported Transfer, without our prior written consent, will be null and void and will constitute an Event of Default (as herein defined), for which we may terminate this Agreement without opportunity to cure.
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, if a franchisee attempts to transfer their franchise agreement or license without obtaining prior written consent from Body20, the attempted transfer will be considered null and void. Furthermore, it will be classified as an Event of Default under the franchise agreement.
This Event of Default gives Body20 the right to terminate the franchise agreement without providing the franchisee an opportunity to correct the issue. This means the franchisee would immediately lose their rights to operate the Body20 studio.
This provision underscores the importance Body20 places on controlling who operates its franchises, ensuring that all franchisees meet their standards for business skill, financial capacity, and personal character. Prospective franchisees should be aware of these stipulations regarding transfer and assignment, and carefully follow the outlined procedures to avoid potential default and termination of their franchise agreement.