factual

If a transfer is granted by Coffee News, what agreement must the transferee franchisee execute?

Coffee_News Franchise · 2025 FDD

Answer from 2025 FDD Document

When a transfer is granted by Franchisor, the transferee franchisee shall execute Coffee News' then current Franchise Agreement and related documents to govern the remaining term of this Agreement.

Source: Item 23 — Receipts (FDD pages 36–118)

What This Means (2025 FDD)

According to the 2025 Coffee News Franchise Disclosure Document, if a transfer of a franchise is approved, the new franchisee (transferee) must sign Coffee News's current Franchise Agreement and any related documents. This new agreement will govern the remaining term of the original agreement.

This requirement ensures that all franchisees operate under the same current standards and legal terms set by Coffee News. It protects the consistency and uniformity of the Coffee News brand. The new franchisee is bound by the most up-to-date obligations and guidelines.

For a prospective franchisee, this means that if they plan to buy an existing Coffee News franchise, they should be prepared to enter into a new agreement with terms that may differ from the original franchisee's agreement. It is important to carefully review the current Franchise Agreement before completing the transfer to understand the obligations and responsibilities they will be undertaking.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.