Is Buona allowed to delegate its obligations under the franchise agreement to third parties?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
- 9.5 Delegation.
Franchisee agrees that Franchisor shall have the right to delegate to thirdparty designees, whether Franchisor's agents or independent contractors with whom Franchisor has contracted, the performance of any portion or all of Franchisor's obligations under this Agreement, and any right Franchisor has under this Agreement.
If Franchisor does so, such third-party designees will be obligated to perform the delegated functions for Franchisor in compliance with this Agreement.
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, Buona has the right to delegate its obligations under the franchise agreement to third parties. Specifically, Buona can delegate the performance of any portion or all of its obligations, as well as any right it has under the agreement, to third-party designees, whether they are Buona's agents or independent contractors with whom Buona has contracted.
These third-party designees are then obligated to perform the delegated functions for Buona in compliance with the franchise agreement. This delegation clause provides Buona with flexibility in managing its responsibilities and ensuring the smooth operation of the franchise system.
For a prospective franchisee, this means that certain aspects of Buona's obligations or rights may be handled by third parties. While these third parties are required to comply with the franchise agreement, it's important for franchisees to understand who these designees are and what responsibilities they hold. This delegation could impact various aspects of the franchise operation, and franchisees should be aware of how it might affect their interactions with Buona and the services they receive.