In Washington, to what extent are transfer fees collectable for a Boulder Designs franchise?

According to Boulder Designs' 2025 Franchise Disclosure Document, transfer fees are collectable in Washington to the extent that they reflect Boulder Designs' reasonable estimated or actual costs in facilitating the transfer. This means that Boulder Designs can charge a fee to cover expenses they incur during the transfer process, but the fee must be justifiable and not excessive.

This provision protects prospective Boulder Designs franchisees in Washington from being charged exorbitant or arbitrary transfer fees. It ensures that the fees are tied to actual costs, providing a degree of transparency and fairness. Franchisees should request a detailed breakdown of these costs to ensure they align with the franchisor's actual expenses.

It is important for potential Boulder Designs franchisees to understand what constitutes 'reasonable estimated or actual costs.' This could include administrative expenses, legal fees, training costs for the new franchisee, and other related expenses. Franchisees should also be aware of their rights under Washington state law, particularly the Washington Franchise Investment Protection Act, which may provide additional protections regarding transfer fees and other aspects of the franchise agreement.