Can Floors To Go transfer its contractual obligations to the franchisee to another party?

According to Floors To Go's 2025 Franchise Disclosure Document, the franchise agreement addresses the transfer of the agreement by the franchisor. Specifically, there is a section titled "10. Transfer Of Agreement By Us" which indicates the terms under which Floors To Go can transfer its rights and obligations under the franchise agreement to another party.

This clause is important for prospective franchisees as it outlines the circumstances under which Floors To Go might assign the franchise agreement to a new entity. This could occur if Floors To Go is sold, merges with another company, or undergoes a restructuring. Understanding these conditions helps a franchisee assess the potential for changes in the franchisor's management and support structure during the term of the agreement.

It is advisable for potential Floors To Go franchisees to carefully review this section of the franchise agreement with legal counsel to fully understand their rights and obligations in the event of a transfer. This includes clarifying whether the franchisee's consent is required for such a transfer and what recourse they have if they are not satisfied with the new franchisor.