How does Bumble Roofing define an 'Affiliate' in the context of the franchise agreement?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) "Affiliate" means any person or entity that controls, is controlled by, or is in common control with, Franchisor.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, an 'Affiliate' is defined as any person or entity that controls, is controlled by, or is in common control with, the Franchisor. This definition is important for prospective franchisees to understand because it clarifies the scope of Bumble Roofing's influence and potential liability.
This definition has several implications for a Bumble Roofing franchisee. For example, the franchise agreement stipulates that a franchisee must be current in their payment obligations to Bumble Roofing's Affiliates to be eligible for a renewal term. This means that any financial obligations to these affiliated entities could impact the franchisee's ability to extend their franchise agreement.
Furthermore, the agreement states that neither Bumble Roofing nor any of its Affiliates will establish or license another person or entity to establish a Roofing Business using the Marks licensed to the Franchisee within the Territory. This clause offers a degree of territorial protection, but it's crucial to recognize that this protection extends only to Bumble Roofing and its Affiliates, and only concerning the specific Marks licensed to the franchisee. Understanding the definition of 'Affiliate' is therefore key to understanding the scope and limitations of this territorial protection.