How long does a right of first refusal last for a Caring Transitions franchise territory?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
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Your franchise agreement does not give you any option, right of first refusal, or similar right to acquire additional franchises, but you may purchase a right of first refusal to purchase an additional franchise territory. The price for a right of first refusal is $3,000, which would be credited toward the initial franchise fee if you exercise the right of first refusal. A right of first refusal will give you the right to purchase a specific territory first if another prospective purchaser shows an interest in purchasing the territory within 1 year after you purchase the right of first refusal. You would have 7 calendar days after receipt of notice to exercise the right. Caring Transitions must receive the entire balance of the then current initial franchise fee for the right of first refusal territory by the seventh day after you receive the notice. A right of first refusal lasts for 1 year. The right of first refusal agreement is attached to this disclosure document as Exhibi
Source: Item 5 — INITIAL FEES (FDD pages 12–13)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, a right of first refusal lasts for a period of one year. This right allows a franchisee to have the first opportunity to purchase a specific territory if another potential buyer expresses interest within that one-year timeframe.
To obtain this right of first refusal, a franchisee must pay $3,000. This amount is then credited towards the initial franchise fee if the franchisee decides to exercise their right and purchase the additional territory.
If another prospective buyer becomes interested in the territory, the franchisee holding the right of first refusal will receive a notice and has seven calendar days to decide whether to exercise their right and purchase the territory. To do so, Caring Transitions must receive the full balance of the initial franchise fee for that territory within those seven days. This arrangement provides the franchisee with a limited-time advantage to expand their business before the opportunity becomes available to others.