What is the condition regarding transfer fees collectable by Crisp & Green in Washington?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
Transfer fees are collectable to the extent that they reflect the franchisor's reasonable estimated or actual costsin effecting a transfer.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, specifically the addendum for Washington, transfer fees are collectable but with a specific condition. In Washington, Crisp & Green can only collect transfer fees to the extent that those fees reflect the franchisor's reasonable estimated or actual costs incurred while processing the transfer.
This means that Crisp & Green cannot charge an arbitrary or inflated transfer fee. The fee must be directly tied to the expenses that Crisp & Green incurs during the transfer process. This provision protects franchisees in Washington from excessive or unfair transfer fees.
Prospective franchisees in Washington should carefully document and scrutinize any transfer fees charged by Crisp & Green to ensure they align with the franchisor's actual costs. If the fees seem unreasonable or inflated, franchisees have grounds to challenge them under Washington state law.