Under what circumstances related to other agreements between Bojangles and the franchisee is the franchisee's authority to transfer interest subject to additional conditions and limitations?

According to Bojangles's 2025 Franchise Disclosure Document, a franchisee's ability to transfer any interest in the franchise is subject to the terms outlined in the Franchise Agreement, as well as any other agreements between Bojangles and the franchisee. These additional agreements, such as a Development Agreement, may impose further conditions and limitations on the franchisee's right to transfer their interest in the Franchise Agreement.

This means that if a prospective Bojangles franchisee has entered into a separate agreement with Bojangles, such as a Development Agreement to open multiple locations, the terms of that agreement could restrict their ability to sell or transfer their interest in the franchise. These restrictions could include requiring Bojangles's approval for any transfer, giving Bojangles the right of first refusal to purchase the franchise, or setting specific financial or operational criteria that a potential buyer must meet.

For a prospective franchisee, this highlights the importance of carefully reviewing all agreements with Bojangles, not just the standard Franchise Agreement. Understanding the terms of any Development Agreement or other side agreements is crucial, as these can significantly impact the franchisee's exit strategy and ability to realize the value of their investment in the future. Franchisees should seek legal counsel to fully understand the implications of all agreements before signing.