factual

What is the relationship between the execution of this agreement and the Boulder Designs Franchise Agreement?

Boulder_Designs Franchise · 2025 FDD

Answer from 2025 FDD Document

eement and Power Of Attorney to be duly signed as evidenced by their signatures appearing below.

FRANCHISEE: EACH OF THE BELOW PERSONS AGREES TO BE BOUND BY THE PROVISIONS OF THIS AGREEMENT, IN BOTH INDIVIDUAL AND REPRESENTATIVE CAPACITIES.

Signed the day of, 20
FRANCHISEE: FRANCHISEE:
By: By:
Name/Title Name/Title
Name, Individually Name, Individually

EXHIBIT 8 TO THE FRANCHISE AGREEMENT

STATE-SPECIFIC AMENDMENTS

AMENDMENT TO THE FRANCHISE AGREEMENT REQUIRED BY THE STATE OF CALIFORNIA

This Amendment to the Boulder Designs Franchise Agreement dated, 20 between
Boulder Designs Franchising, LLC, ("Franchisor") and
("Franchisee") is entered into simultaneously with the execution of the Franchise Agreement.

The registration of this franchise offering by the California Department of Financial Protection and Innovation does not constitute approval, recommendation, or endorsement by the commissioner.

  1. Section 3.1 of the Franchise Agreement is amended to reflect the following:

The Department of Financial Protection and Innovation requires that the franchisor defer the collection of all initial fees from California franchisees until the franchisor has completed all its pre-opening obligations and franchisee is open for business. For any development agreement, the payment of the development and initial fee attributable to a specific unit is deferred until that unit is open.

  1. The second paragraph of Section 18.2 of the Franchise Agreement is amended with the following:

It is unlawful for a franchisor to prevent a franchisee from selling or transferring a franchise, all or substantially all of the assets of the Franchised Business, or a controlling or non-controlling interest in the Franchised Business, to another person provided that the person is qualified under the franchisor's thenexisting standards for the approval of new or renewing franchisees, these standards to be made available to the franchisee, as provided in Section 20029, if applicable, and to be consistently applied to similarly situated franchises operating within the franchise brand, and the franchisee and the buyer, transferee, or assignee comply with the transfer conditions specified in the franchise agreement. Any purported transfer without such approval shall be null and void and shall constitute a material breach of this Agreement. A Franchisee shall not have the right to sell, transfer, or assign the franchise, all or substantially all of the assets of the Franchised Business, or a controlling or non-controlling interest in the Franchised Business, without the written consent of the Franchisor, except that the consent shall not be withheld unless the buyer, transferee, or assignee does not meet the standards for new or renewing franchises described in subdivision (a) of the California Business and Professions Code, Section 20028, if applicable, or the Franchisee and the buyer, transferee, or assignee do not comply with the transfer conditions specified in the franchise agreement.

    1. Article 24 is deleted in its entirety.
    1. Exhibit 5 to the Franchise Agreement is hereby removed in its entirety.

Source: Item 22 — CONTRACTS (FDD page 50)

What This Means (2025 FDD)

According to the 2025 Boulder Designs Franchise Disclosure Document, several amendments and agreements are executed simultaneously with the Franchise Agreement. This indicates that the commencement of the franchise operation is contingent upon all related documents being signed at the same time. This simultaneous execution ensures that all parties are in agreement and that the franchisee understands their obligations and rights from the outset.

Specifically, the FDD mentions that amendments to the Boulder Designs Franchise Agreement are entered into simultaneously with the execution of the Franchise Agreement. This simultaneous execution applies to agreements related to national headstone programs and deferred payment of initial franchise fees until Boulder Designs has met its initial obligations. This coordinated approach helps to streamline the onboarding process for new franchisees and ensures that all contractual obligations are aligned from the beginning.

For a prospective Boulder Designs franchisee, this means that they should carefully review all documents, including the Franchise Agreement and any related amendments, before signing. Understanding the terms and conditions of each agreement is crucial, as they all take effect at the same time. Franchisees should seek legal counsel to ensure they fully comprehend their rights and obligations under these agreements. This simultaneous execution underscores the importance of due diligence and thorough review before committing to the Boulder Designs franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.