What agreement must the legatees, next-of-kin, or beneficiaries agree to in writing to assume the obligations of a deceased Carbones Pizzeria franchisee?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisees is/are a natural person, upon his or her (or their) deaths, the rights of Franchisees may pass to the legatees or next-of-kin, or beneficiaries of Franchisee who (1) meet the present qualifications and financial standards required of the franchisees of the Franchisor and (2) such legatees or next-of-kin or beneficiaries agree in writing to assume the obligations of Franchisee under this Agreement and to execute and abide by the then current form of franchise agreement and sign any personal guarantees required by the Franchisor in its sole discretion.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, if a franchisee who is a natural person dies, their rights may pass to their legatees, next-of-kin, or beneficiaries under certain conditions. To assume the obligations of the deceased franchisee, these individuals must meet the current qualifications and financial standards required of new Carbones Pizzeria franchisees.
In addition to meeting the qualifications and financial standards, the legatees, next-of-kin, or beneficiaries must agree in writing to assume all of the franchisee's obligations under the existing franchise agreement. They must also execute and abide by the then-current form of the franchise agreement, which may differ from the original agreement signed by the deceased franchisee.
Furthermore, these individuals must sign any personal guarantees required by Carbones Pizzeria, at the franchisor's sole discretion. This means that the franchisor has the right to request personal guarantees from the individuals taking over the franchise, adding another layer of financial responsibility for them. This requirement ensures that Carbones Pizzeria maintains a certain level of financial security and commitment from whoever operates the franchise, even after the original franchisee's death.