Does the Bumper Man definition of 'Transfer by you' include a transfer of substantially all of the assets of the franchisee or the Bumper Business?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| j. Assignment of contract | Section 16(a) | names, electronic mail address, websites, social media accounts and search engines related to the operation of the Bumper Business or the System or that otherwise associates you with the Bumper Man brand to us or our designee; de identification of your Bumper Man vehicle in accordance with our then-current standards described in the Manual; and compliance with all post-termination covenants and obligations, including without limitation confidentiality, competition and indemnification. No restriction on our right to assign. |
| by us | Section 16(b) | Includes any transfer of your interest in the |
| k. | Franchise Agreement, a controlling ownership | |
| "Transfer by you | interest in you or your interest in substantially all | |
| definition | of the assets of you or the Bumper Business. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 33–38)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, the definition of 'Transfer by you' does include the transfer of substantially all of the assets of the franchisee or the Bumper Business. This definition is important because it outlines what actions Bumper Man considers to be a transfer of the franchise, which then triggers certain requirements and restrictions as detailed in Item 17.
For a prospective Bumper Man franchisee, this means that selling off a significant portion of their business assets would be treated the same as selling the entire franchise. This could trigger the need for franchisor approval, payment of transfer fees, and other conditions outlined in the Franchise Agreement. It is important to understand the full scope of what constitutes a transfer to avoid inadvertently triggering these provisions.
This definition protects Bumper Man by ensuring they have control over who operates a franchise under their brand. By including the transfer of substantially all assets, Bumper Man prevents a franchisee from circumventing the transfer process by selling off key parts of the business to an unapproved party. Franchisees should carefully consider these implications before making any decisions about selling assets related to their Bumper Man franchise.