To whom can a Cd One Price Cleaners franchisee transfer the Sublease agreement?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in franchise or other agreement | Summary |
|---|---|---|
| l. Franchisor approval of transfer by franchisee | 5(c)(i) of Sublease | No transfer of Sublease without our affiliate’s approval. Transfer of Sublease is subject to Franchise Agreement’s transfer conditions and requirements. |
| m. Conditions for franchisor approval of transfer | 5(c)(i) of Sublease | You may only transfer Sublease to transferee of Franchise Agreement. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 56–62)
What This Means (2025 FDD)
According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, a franchisee cannot transfer the Sublease agreement to just anyone. The franchisee may only transfer the Sublease to someone who is also approved to be a transferee of the Franchise Agreement. This means the person or entity taking over the Sublease must also meet Cd One Price Cleaners' qualifications to become a franchisee.
This stipulation ensures that Cd One Price Cleaners maintains control over who operates within their leased locations. By requiring the Sublease transferee to also be an approved Franchise Agreement transferee, Cd One Price Cleaners can be confident that the new operator meets their standards and is committed to upholding the brand's reputation.
For a prospective Cd One Price Cleaners franchisee, this condition highlights the importance of finding a qualified buyer if they ever decide to sell their business. It may limit the pool of potential buyers to those who are already interested in becoming a Cd One Price Cleaners franchisee, or it may require the franchisee to assist potential buyers in meeting the franchisor's qualifications. The franchisee will need to work with Cd One Price Cleaners to ensure the potential buyer is approved to take over the franchise agreement.