Who is considered a third-party beneficiary of the Boulder Designs agreement?

According to Boulder Designs' 2025 Franchise Disclosure Document, the company itself is designated as a third-party beneficiary of the franchise agreement. This means that while the agreement is primarily between the franchisee and Boulder Designs Franchising, LLC, the parent company (referred to as "The Company") also has specific rights and benefits under the agreement as if it were a direct party to it.

This designation typically allows the company to directly enforce certain provisions of the agreement against the franchisee, even though the franchisee's primary contractual relationship is with the franchising entity. This is particularly relevant in cases where the franchisee's actions could harm the overall brand or system, allowing the company to step in to protect its interests.

For a prospective Boulder Designs franchisee, this means understanding that the obligations extend not only to the direct franchising entity but also to the parent company. Any breach of contract could potentially be pursued by either entity, adding an extra layer of accountability. It is important to carefully review the agreement to understand the specific rights and powers granted to the company as a third-party beneficiary.