What form must the assumption agreement from the transferee Caring Transitions franchisee take?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
- (4) The transferee franchisee shall enter into a written assumption, in a form satisfactory to Franchisor, assuming and agreeing to discharge all of Franchisee's obligations under this agreement prior to and after the date of the assumption.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 41–49)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, a franchisee who is transferring their franchise to another franchisee must have the transferee franchisee enter into a written assumption agreement. This agreement must be in a form that is satisfactory to Caring Transitions.
This means that the specific terms and conditions of the assumption agreement are determined by Caring Transitions. A prospective franchisee looking to acquire an existing Caring Transitions franchise should carefully review the standard form of assumption agreement provided by the franchisor.
The transferee franchisee, by signing this agreement, agrees to take on and fulfill all of the previous franchisee's obligations under the original franchise agreement, both before and after the date the assumption agreement is signed. This includes any outstanding financial or other obligations that the original franchisee had with Caring Transitions.