Does the Fly Fitness Franchisor have a right of first refusal regarding a transfer of the franchise?

According to Fly Fitness's 2024 Franchise Disclosure Document, Fly Fitness retains a right of first refusal if a franchisee wishes to transfer their interest in the franchised business or the Franchise Agreement. This also applies if a principal wishes to transfer any ownership interest in the Fly Fitness franchise.

To initiate a transfer, the franchisee or principal must promptly notify Fly Fitness in writing of any bona fide offer to purchase their interest. This notification must include all relevant information and documentation related to the offer, ensuring Fly Fitness has a comprehensive understanding of the proposed transaction.

This right of first refusal allows Fly Fitness to maintain control over who becomes a franchisee within their system. By having the first opportunity to purchase the franchise, Fly Fitness can ensure that any new franchisee meets their standards and is a good fit for the brand. This is a fairly standard practice in franchising, as franchisors want to protect their brand and ensure consistency across all locations.