What is the purpose of the First Addendum to the Burneys Sweets More Franchise Agreement?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
NOW THEREFORE, in consideration of the foregoing and Franchisor agreeing to enter into the Franchise Agreement, Franchisor and Franchisee agree as follows:
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- Franchisee hereby agrees to assign to Franchisor: (i) those certain telephone numbers and regular, classified or other telephone directory listings used by Franchisee in connection with operating the BURNEY'S SWEETS & MORE franchised business, including personal cellphone numbers, (ii) all e-mail addresses that use the Marks or that are used by Franchisee in connection with the operation of the Franchised Business, (iii) any Online Presence (as that term is defined in the Franchise Agreement) which uses the Marks, which Franchisee uses in connection with the operation of the Franchised Business, or which Franchisee has been permitted by Franchisor to create, and (iv) all rights, title, and interest in the content of any Online Presence, whether now-existing or adopted by Franchisee in the future (collectively the "Listings").
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- This Assignment is for collateral purposes only and, except as specified herein, Franchisor will have no liability or obligation of any kind whatsoever arising from or in connection with Franchisee's use of the Listings unless and until Franchisor notifies the telephone company, listing agencies, internet service providers, or other parties that provide the Listings (collectively, the "Providers") to effectuate the assignment pursuant to the terms hereof.
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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)
Based on the 2025 Burneys Sweets More Franchise Disclosure Document, the addendum to the franchise agreement covers the assignment of telephone numbers, directory listings, email addresses, and online presence to the franchisor. Specifically, the franchisee agrees to assign these assets to Burneys Sweets More.
This assignment serves as collateral, meaning Burneys Sweets More doesn't have immediate obligations related to the franchisee's use of these listings unless they notify the relevant providers to effectuate the assignment. The franchisee remains responsible for all payments associated with these listings, including amounts owed to Burneys Sweets More, its affiliates, or approved suppliers.
Upon termination, expiration, or nonrenewal of the franchise agreement, Burneys Sweets More has the right to take over these listings. If Burneys Sweets More exercises this right, the franchisee loses all rights to the listings. This ensures that Burneys Sweets More maintains control over the brand's online presence and customer communication channels even after a franchise agreement ends.