What happens in the event of death or disability of a Floors To Go franchisee?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Membership Agreement | Summary | |
|---|---|---|---|
| p. | Death or disability of franchisee | Section 11.2 | Includes payment of money owed, transferee suitability, assumption of current agreement, release from estate |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 33–36)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, the death or disability of a franchisee is considered a transfer of the franchise. Specifically, Section 11.2 of the Membership Agreement outlines the conditions and procedures that apply in such cases.
In the event of death or disability, certain requirements must be met to facilitate the transfer. These include the payment of any money owed to Floors To Go, ensuring the transferee is suitable to operate the franchise, the assumption of the current agreement by the transferee, and a release from the estate of the deceased or disabled franchisee.
This means that the franchisee's estate or a designated individual must find a suitable buyer or successor who meets Floors To Go's criteria. This individual will need to take over the existing franchise agreement and fulfill all outstanding financial obligations. The estate will also need to release Floors To Go from any further liability. Prospective franchisees should carefully review Section 11.2 of the Membership Agreement for a complete understanding of the obligations and procedures involved in transferring the franchise due to death or disability.