Are transfer fees collectable by Focalpoint Coaching, and if so, under what conditions?

According to the 2025 Focalpoint Coaching FDD, transfer fees are collectable to the extent that they reflect Focalpoint Coaching's reasonable estimated or actual costs in effecting a transfer. This means that Focalpoint Coaching can charge a fee for the costs associated with the transfer of a franchise.

This is a fairly standard practice in franchising, as the franchisor incurs costs when a franchise changes hands. These costs can include administrative work, legal fees, and the cost of training a new franchisee. The FDD specifies that the fees must be reasonable and tied to actual costs, which protects the franchisee from excessive or arbitrary fees.

However, the FDD excerpt comes from the Washington Addendum, so this condition applies specifically to franchises operating in Washington state. Prospective franchisees in other states should review their state-specific addenda and the franchise agreement to understand the transfer fee conditions applicable in their area.