Can Desi District Franchise Group impose conditions when granting consent to a transfer?

ICLE 15. TRANSFERS**

• 15.1 By Desi District Franchise Group. Desi District Franchise Group may transfer or assign this Agreement, or any of its rights or obligations under this Agreement, to any person or entity, and Desi District Franchise Group may undergo a change in ownership and/or control, without the consent of Franchisee.
• 15.2 By Franchisee. Franchisee acknowledges that the rights and duties set forth in this Agreement are personal to Franchisee and that Desi District Franchise Group entered into this Agreement in reliance on Franchisee's business skill, financial capacity, personal character, experience, and business ability. Accordingly, Franchisee shall not conduct or undergo a Transfer without providing Desi District Franchise Group at least 60 days prior notice of the proposed Transfer, and without obtaining Desi District Franchise Group's consent. In granting any such consent, Desi District Franchise Group may impose conditions, including, without limitation, the following:
  • (i) Desi District Franchise Group receives a transfer fee equal to $10,000 plus any broker fees and other out-of-pocket costs incurred by Desi District Franchise Group;
  • (ii) the proposed assignee and its owners have completed Desi District Franchise Group's franchise application processes, meet Desi District Franchise Group's then-applicable standards for new franchisees, and have been approved by Desi District Franchise Group as franchisees;
  • (iii) the proposed assignee is not a Competitor;
  • (iv) the proposed assignee executes Desi District Franchise Group's then-current form of franchise agreement and any related documents, which form may contain materially different provisions than this Agreement (provided, however, that the proposed assignee will not be required to pay an initial franchise fee);
  • (v) all owners of the proposed assignee provide a guaranty in accordance with Section 2.5;
  • (vi) Franchisee has paid all monetary obligations to Desi District Franchise Group and its affiliates, and to any lessor, vendor, supplier, or lender to the Business, and

• Franchisee is not otherwise in default or breach of this Agreement or of any other obligation owed to Desi District Franchise Group or its affiliates;
• (vii) the proposed assignee and its owners and employees undergo such training as Desi District Franchise Group may require;

Source: Item 22 — CONTRACTS (FDD page 52)