Where does the Casiola Franchise Agreement discuss corporate accounts?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
- "Assignee Corporate Entity" shall have the meaning defined and set forth in Article 14.E. of this Agreement.
"Immediate Family Member" means the spouse of a person and any other member of the household of such person, including, without limitation, children, and grandchildren of such person. Immediate Family Member shall further refer to and mean the spouse, children, grandchildren, and other members of the household of each Franchisee, if Franchisee is an individual, or each Owner of Franchisee if Franchisee is a Corporate Entity.
Provided Franchisee and each Owner, respectively, are in substantial compliance with this Agreement and the Ancillary Agreements, and Franchisor does not elect to exercise Franchisor's right of first refusal as set forth in Article 14.F. below, Franchisor shall not unreasonably withhold its approval of a Transfer by Franchisee or an Owner. The proposed transferee, including such assignee's owners, if the proposed transferee is a Corporate Entity, must be of good moral character, have sufficient business experience, aptitude and financial resources to own and operate a Casiola Business, and otherwise meet Franchisor's then applicable standards for franchisees as determined by Franchisor in its sole, but reasonable discretion. Furthermore, the proposed transferee and the proposed transferee's owners may not own or operate, or intend to own or operate, a Competitive Business.
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to the 2024 Casiola Franchise Disclosure Document, the term "Assignee Corporate Entity" is defined in Article 14.E of the agreement. Additionally, the definition of "Immediate Family Member" includes the spouse, children, grandchildren, and other members of the household of each Franchisee, if Franchisee is an individual, or each Owner of Franchisee if Franchisee is a Corporate Entity.
Furthermore, when a franchisee seeks to transfer their franchise, the proposed transferee must meet certain conditions. If the proposed transferee is a Corporate Entity, its owners must be of good moral character, have sufficient business experience, aptitude, and financial resources to own and operate a Casiola Business, and meet Casiola's standards for franchisees. These owners also cannot own or operate a Competitive Business.
These passages indicate that the Casiola Franchise Agreement addresses scenarios where a franchisee is a corporate entity, particularly in the context of transfers and defining family members. A prospective franchisee should carefully review Article 14.E and related sections to understand the specific requirements and implications for corporate entities within the Casiola franchise system.