Are Bumper Man franchisees or certified technicians allowed to assign the Addendum?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) Relocation. Franchisee will not relocate the Bumper Business. However, Franchisee, with Franchisor's prior written consent, may Transfer the Bumper Business to another Person and enter into Franchisor's thencurrent Bumper Man franchise agreement for a new Designated Area provided Franchisee pays to Franchisor a fee equal to 70% of the then-current franchise fee.
- 9. RIGHT OF SECOND REFUSAL. If Franchisor elects not to exercise its right of first refusal pursuant to Section 16(g) (in the event of Transfer) of the Franchise Agreement, and provided Certified Technician is not in default of the Franchise Agreement or this Addendum, Franchisor will notify Certified Technician of its option to purchase the Bumper Business. Certified Technician must respond to Franchisor in writing within 20 days of the date of Franchisor's Notice, stating either its desire to enter into Franchisor's then-current form of Franchise Agreement to operate the Bumper Business in the Designated Area (including payment of an Initial Franchise Fee, less the Certified Technician Fee) or to cease operating as a Certified Technician in the Designated Area. If Certified Technician fails to provide a written response within such 20-day time period, Franchisor may proceed to either operate the Bumper Business directly or grant the right to a third party to operate such Bumper Business with no obligation or liability to Certified Technician.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
Based on the 2025 Bumper Man Franchise Disclosure Document, the conditions for a franchisee to transfer their interest, including the Bumper Man business, require the franchisor's prior written consent. Specifically, if Bumper Man elects not to exercise its right of first refusal, the certified technician has the option to purchase the Bumper Man business by entering into the current form of the franchise agreement, which includes paying an initial franchise fee, less the certified technician fee.
If the certified technician does not respond within 20 days, Bumper Man has the right to either operate the Bumper Man business directly or grant the right to a third party.
This indicates that while a direct assignment of the addendum might not be explicitly addressed, the certified technician has a pathway to potentially take over the Bumper Man business under certain conditions, subject to the franchisor's approval and adherence to the then-current franchise agreement terms.