In Washington, what is the condition for transfer fees to be collectable by Card My Yard?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
er any liabilities that may have been incurred prior to the effective date of the transfer, and shall execute any and all instruments reasonably requested by us to evidence such
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, if a franchisee wishes to transfer all or part of their interest in the Card My Yard business or the Franchise Agreement, they must apply to Card My Yard for consent. Card My Yard will not unreasonably withhold consent but may require certain conditions.
One of the conditions for transfer is that the franchisee must pay Card My Yard a transfer fee. This fee is equal to the greater of $3,000, or 5% of the applicable sale/transfer price, whether the consideration is cash or something else.
Therefore, in Washington, as in all other states, Card My Yard can collect a transfer fee when a franchisee transfers their interest in the business, provided the franchisee has applied for and received consent to transfer, and meets all other conditions for transfer.