For what sums is a Buns On Fire franchisee still liable to telephone companies after the transfer?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding the foregoing, Franchisee will remain liable to each and all of the Telephone Companies for the sums Franchisee is obligated to pay such Telephone Companies for obligations Franchisee incurred before the date Franchisor duly accepted the transfer of such Interest, or for any other obligations not subject to the Franchise Agreement or this Telephone Listing Agreement.
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
According to the 2025 Buns On Fire Franchise Disclosure Document, even after transferring telephone numbers and listings to the franchisor, a franchisee remains responsible for specific financial obligations to telephone companies.
Specifically, the franchisee is still liable for any sums they were obligated to pay to the telephone companies before the date Buns On Fire accepted the transfer of interest in the telephone numbers and listings. This means that any outstanding bills or charges incurred before the transfer remains the franchisee's responsibility.
Additionally, the franchisee is liable for any other obligations to the telephone companies that are not covered under the Franchise Agreement or the Telephone Listing Agreement. This could include charges or services that fall outside the scope of what is defined in those agreements. Therefore, it is important for a prospective franchisee to understand all existing obligations with telephone companies before transferring any interest to Buns On Fire.