For Care Plus Medical Ucc franchises in Washington, are transfer fees always collectable?

According to Care Plus Medical Ucc's 2024 Franchise Disclosure Document, transfer fees for franchises in Washington are not always collectable. The Washington Addendum to the Franchise and Multi-Unit Development Agreement states that transfer fees are collectable only to the extent that they reflect Care Plus Medical UCC's reasonable estimated or actual costs in facilitating the transfer.

This means that Care Plus Medical Ucc cannot charge an arbitrary transfer fee. The fee must be tied to the actual expenses the company incurs during the transfer process. This protection is provided by Washington state law, specifically RCW 19.100.180, which may supersede the franchise agreement in certain areas.

For a prospective Care Plus Medical Ucc franchisee in Washington, this addendum provides a degree of financial protection. It ensures that transfer fees are fair and directly related to the franchisor's costs. Franchisees should ensure they understand what costs Care Plus Medical Ucc includes in the transfer fee and verify that these costs are indeed reasonable and actual.