What is deemed a waiver of the right of first refusal by Floyds 99?

According to Floyds 99's 2025 Franchise Disclosure Document, if the franchisor does not respond to the franchisee's notice of a proposed sale within 90 days, it is considered a waiver of their right of first refusal.

This means that if a franchisee wishes to sell their Floyds 99 shop and notifies the franchisor of a proposed sale, Floyds 99 has 90 days to decide whether to exercise their right to purchase the franchise on the same terms as the proposed buyer. If Floyds 99 fails to respond within this 90-day period, they lose their right to step in and buy the franchise themselves.

This clause is important for franchisees because it prevents the franchisor from indefinitely delaying a sale. It provides a clear timeline for the franchisor to make a decision, allowing the franchisee to move forward with the sale to another buyer if the franchisor does not act promptly. This is a fairly standard clause in franchise agreements, ensuring that franchisees are not held hostage by a franchisor's inaction.