Does the Brain Balance assignment agreement specify if it is transferable by the Assignee?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Assignor shall not transfer or assign any of its rights and/or obligations under this Assignment without the prior written consent of Assignee, which consent may be granted, conditioned or denied in Assignee's sole and absolute discretion. This Assignment is fully transferable by Assignee to any person or entity. This Assignment is binding upon and inures to the benefit of the parties hereto and their respective successors, heirs, representatives, and permitted assigns.
Source: Item 23 — RECEIPTS (FDD pages 72–292)
What This Means (2025 FDD)
According to the 2025 Brain Balance Franchise Disclosure Document, the Conditional Assignment of Lease outlines specific conditions regarding the transfer of the lease. Specifically, the document states that the assignment is fully transferable by the Assignee (which in this case is the Franchisor, BB Franchising LLC) to any person or entity. This means that Brain Balance, as the assignee, has the right to transfer the lease to another party.
This clause provides Brain Balance with flexibility in managing the lease agreements associated with its franchise locations. It allows Brain Balance to transfer the lease to a new franchisee or another entity if the original franchisee defaults, terminates the agreement, or under other circumstances where a change in tenancy is required.
For a prospective Brain Balance franchisee, this indicates that while they are initially the Assignor of the lease to Brain Balance, Brain Balance retains the right to transfer the lease to another party. The franchisee should understand the conditions under which Brain Balance might exercise this right and how it could affect their operation of the franchise. The franchisee should also note that the assignment benefits all parties who lawfully succeed to the rights or take the place of Brain Balance.