Under what conditions is a Floyds 99 Developer prohibited from engaging in a transfer?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.2 Pre-Conditions to Developer's Transfer.
Developer shall not engage in a transfer, as defined above, unless Developer obtains Franchisor's written consent and complies with the following requirements:
(a) Payment of all amounts due and owing pursuant to this Agreement and any Franchise Agreement to Franchisor or its affiliates or payment of all amounts due and owing to third parties holding a security interest in any asset of the franchised business;
(b) Agreement by the proposed transferee to sat
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, a Developer is prohibited from engaging in a transfer unless they obtain written consent from Floyds 99 and comply with specific requirements. These preconditions include settling all outstanding financial obligations to Floyds 99, its affiliates, or third parties holding a security interest in the franchised business assets.
Additionally, the proposed transferee must commit to adhering to the terms of the existing agreements. This ensures that the new operator is legally bound to uphold the standards and obligations of the Floyds 99 franchise system.
These stipulations are in place to protect the integrity and financial health of the Floyds 99 brand. By requiring financial obligations to be met and ensuring transferee commitment, Floyds 99 aims to maintain consistent operations and brand reputation across all franchised locations.