If Bonchon meets with a potential transferee at their business or residence, who is responsible for reimbursing Bonchon's travel, lodging, meal, and personal expenses?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Agreement* | Summary |
|---|---|---|
| b. Transferee must come to personal interview, or we may meet with | ||
| transferee at his, her or its business or residence, and if we do you must | ||
| reimburse us for our travel, lodging, meal and personal expenses. | ||
| c. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 71–81)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, if a franchisee seeks to transfer their franchise to a new owner, the potential transferee must undergo an application process with Bonchon. As part of this process, Bonchon may choose to meet with the transferee at their business or residence.
If Bonchon decides to meet the potential transferee at their business or residence, the current franchisee is responsible for reimbursing Bonchon for its travel, lodging, meal, and personal expenses associated with the meeting. This condition is part of Bonchon's overall evaluation of the proposed transferee's suitability.
This requirement ensures that Bonchon can thoroughly assess potential new owners and that the costs associated with this assessment are covered by the party initiating the transfer. It is a standard practice in franchising to have the transferring franchisee bear these costs, as they are the ones seeking to exit the agreement and introduce a new party.