If a franchisee desires to accept an offer to transfer a controlling interest in their Bojangles Restaurant, how many days prior to the proposed transfer date must Bojangles be notified?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
- (1) Developer and shareholders or members of Developer who desire to accept a bona fide offer from a third party to purchase an interest in Developer or in this Agreement shall provide Franchisor with all of the terms of the proposed transfer in writing at least sixty (60) days prior to the proposed date of transfer.
Franchisor shall have the right and option, exercisable within thirty (30) days after receipt of such written notification, to send written notice to the seller that Franchisor intends to purchase the seller's interest on the same terms and conditions offered by the third party, net of any finders or brokers fees which any third party would be obligated to pay.
In the event that Franchisor elects to purchase the seller's interest, closing on such purchase must occur within thirty (30) days from the date of notice to the seller of the election to purchase by
Source: Item 23 — RECEIPTS (FDD pages 82–573)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, a franchisee must provide Bojangles with written notice of a proposed transfer of interest at least 60 days prior to the intended transfer date. This notification must include all terms of the proposed transfer.
Bojangles then has the option to purchase the franchisee's interest on the same terms offered by the third party, excluding any finder's or broker's fees. Bojangles has 30 days after receiving the franchisee's written notification to exercise this option. If Bojangles decides to purchase the interest, the closing must occur within 30 days from the date Bojangles notifies the seller of their intent to purchase.
If Bojangles does not exercise its option to purchase, the franchisee may proceed with the transfer to the third party, provided they have complied with all conditions outlined in the franchise agreement. However, any material changes to the terms of the third party's offer before closing constitute a new offer, which is again subject to Bojangles's option to purchase. This ensures that Bojangles retains control over who becomes a franchisee and protects their interests in the franchise system.