What is the prohibited action regarding the terms and conditions of a Carbones Pizzeria franchise transfer?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisor does not exercise the option granted to it, then Franchisee may thereafter engage in the Transfer described in the required notice during the thirty (30) days immediately following the expiration of the sixty (60) day period hereinabove described; provided that such Transfer is made on precisely the same terms and conditions as those specified in the notice required hereunder; and provided, further, that Franchisee obtains the prior written consent of Franchisor for the Transfer. Such Transfer shall not be made on terms and conditions other than those set forth in the notice required hereunder, no matter now slight such variance might be. If the Transfer does not occur within such additional thirty (30) day period, such interest shall thereafter again be subject to all of the restrictions of this Agreement with respect to any Transfer.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, a franchisee is prohibited from making a transfer on terms and conditions other than those initially specified in the notice provided to Carbones Pizzeria, no matter how slight the variance. This means that if a franchisee intends to sell their Carbones Pizzeria franchise, they must first notify the franchisor in writing, outlining all the precise terms and conditions of the proposed transfer.
Carbones Pizzeria then has the option to purchase the franchise on those exact terms. If Carbones Pizzeria waives this option, the franchisee can proceed with the transfer to a third party, but only under the original terms disclosed. Any deviation from those terms, even a minor one, is not allowed.
This provision protects Carbones Pizzeria by ensuring that any transfer of the franchise occurs on terms that they have had the opportunity to review and potentially match. It prevents franchisees from altering the deal at the last minute without the franchisor's consent, maintaining consistency and control over franchise ownership within the Carbones Pizzeria system. If the transfer does not occur within thirty days of Carbones Pizzeria waiving their option, the franchise is again subject to all transfer restrictions outlined in the agreement.