Besides the franchisee and Bombs Away Franchising, are Bombs Away Franchising's affiliates considered third-party beneficiaries to the Bombs Away franchise agreement?

According to Bombs Away's 2024 Franchise Disclosure Document, the franchise agreement does confer rights to Bombs Away Franchising's affiliates, designating them as third-party beneficiaries. This means that Bombs Away Franchising's affiliates have specific rights and remedies under the franchise agreement, in addition to those of Bombs Away Franchising and the franchisee.

As a third-party beneficiary, Bombs Away Franchising's affiliates can directly enforce provisions of the franchise agreement against the franchisee, even though they are not direct signatories to the agreement. This could include the right to sue for breach of contract or to seek injunctive relief if the franchisee violates the terms of the agreement.

This clause strengthens Bombs Away Franchising's overall position, as it allows its affiliates to protect their interests related to the Bombs Away brand and system. Prospective franchisees should understand that they are not only entering into an agreement with Bombs Away Franchising but also creating legally enforceable rights for its affiliates.