To what extent are transfer fees collectable from a Bumble Roofing franchisee in Washington?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
Transfer fees are collectable to the extent that they reflect the franchisor's reasonable estimated or actual costs in effecting a transfer.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–45)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, transfer fees are collectable from a franchisee in Washington to the extent that they reflect the franchisor's reasonable estimated or actual costs in executing the transfer. This means Bumble Roofing can charge a fee to cover expenses like administrative work, legal reviews, and training of the new franchisee, but the fee must be justifiable based on real costs.
This provision is further clarified by the Washington Addendum to the Franchise Disclosure Document. In the event of any conflict of laws, the provisions of the Washington Franchise Investment Protection Act will take precedence. This means that while the franchise agreement might outline specific transfer fee amounts or conditions, Washington state law ultimately governs what is permissible.
For a prospective Bumble Roofing franchisee in Washington, this means that any transfer fees charged must be reasonable and transparent. It is advisable to carefully review the franchise agreement and any related addenda, paying close attention to the section on transfer fees. If there are concerns about the reasonableness of the fees, it would be prudent to seek legal counsel to ensure compliance with Washington state law.