Is the assignment of Listings by a Burneys Sweets More franchisee permanent?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Upon termination, expiration, or nonrenewal of the Franchise Agreement (without renewal or extension), Franchisor will have the right and is hereby empowered to effectuate the assignment of the Listings to itself or to any third party it designates. In the event Franchisor exercises its assignment rights Franchisee will have no further right, title or interest in the Listings; provided, however, Franchisee will pay all amounts owed in connection with the Listings, including all sums owed to Franchisor, Franchisor's affiliates, or Franchisor's approved suppliers
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to the 2025 Burneys Sweets More FDD, the assignment of telephone numbers, directory listings, email addresses, and online presence (collectively "Listings") to Burneys Sweets More is initially for collateral purposes only. The franchisee retains the right to use these listings while operating under the Franchise Agreement.
However, upon termination, expiration, or nonrenewal of the Franchise Agreement, Burneys Sweets More has the right to effectuate the assignment of the Listings to themselves or a third party. If Burneys Sweets More exercises this right, the franchisee loses all rights, title, and interest in the Listings. The franchisee is still responsible for paying all amounts owed in connection with the Listings, including any sums owed to Burneys Sweets More, its affiliates, or approved suppliers.
In practical terms, this means that while a Burneys Sweets More franchisee can use the assigned Listings during the term of their agreement, they must relinquish them if the franchise ends. This is a fairly standard practice in franchising, allowing the franchisor to maintain brand consistency and goodwill. Prospective franchisees should be aware that the phone numbers and online presence they build up during their franchise term will revert to Burneys Sweets More upon termination or non-renewal, so they cannot be considered a long-term asset for the franchisee.