Under what conditions can Byrider terminate the franchise agreement if the franchisee attempts to make a transfer?

According to Byrider's 2025 Franchise Disclosure Document, Byrider can terminate the franchise agreement if the franchisee attempts to make any transfer in violation of Article XIV of the agreement. This means that if a franchisee tries to sell, assign, or otherwise transfer their franchise rights without following the procedures and requirements outlined in Article XIV, Byrider has grounds to terminate the agreement.

This provision protects Byrider's interests by ensuring that any transfer of the franchise is done in accordance with their standards and with their approval. Article XIV likely contains stipulations regarding the qualifications of potential transferees, the payment of transfer fees, and the execution of necessary documents. By requiring adherence to these stipulations, Byrider maintains control over who operates a franchise under their brand name and ensures the continued quality and consistency of the Byrider system.

For a prospective franchisee, this means they must fully understand and comply with the transfer provisions in Article XIV. Failure to do so could result in the termination of their franchise agreement, potentially leading to significant financial losses. It is crucial to carefully review Article XIV and seek legal counsel to ensure full compliance before attempting any transfer of the franchise.