Under what circumstances might Boulder Designs allow a franchisee to relocate their Franchised Business?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall not relocate the Franchised Business without the prior written consent of Franchisor. If the lease for the Approved Location expires or terminates through no fault of Franchisee or if the Franchised Business's premises is destroyed, condemned or otherwise rendered unusable or as otherwise may be agreed upon in writing by Franchisor and Franchisee, Franchisor may allow Franchisee to relocate the Franchised Business in accordance with Franchisor's then-current site selection procedures. Any such relocation shall be at Franchisee's sole expense. Franchisor has the right to charge Franchisee for any costs incurred by Franchisor in providing assistance to Franchisee, including, but not limited to, legal and accounting fees.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, a franchisee cannot relocate their franchised business without prior written consent from Boulder Designs. However, Boulder Designs may allow a franchisee to relocate under specific circumstances. These circumstances include if the lease for the approved location expires or terminates through no fault of the franchisee, or if the premises of the franchised business is destroyed, condemned, or otherwise rendered unusable. Relocation may also be allowed as otherwise agreed upon in writing by Boulder Designs and the franchisee.
If relocation is permitted, it must be done in accordance with Boulder Designs' then-current site selection procedures. The FDD stipulates that any such relocation will be at the franchisee's sole expense. This means the franchisee is responsible for covering all costs associated with moving to a new location.
Furthermore, Boulder Designs retains the right to charge the franchisee for any costs incurred by Boulder Designs in providing assistance during the relocation process. These costs may include, but are not limited to, legal and accounting fees. This clause highlights that while relocation might be permitted under certain conditions, it is ultimately subject to Boulder Designs' approval and comes with potential financial burdens for the franchisee.