What is the transfer fee that Gokhale Method may impose if a transfer is required by state law?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
ay request.
- 14.2. Transfer by You. You do not have any right to transfer this agreement. It shall immediately terminate and be of no further force or effect, except for provisions that by their terms survive termination, if you attempt to transfer this Agreement. This Agreement cannot be transferred or devised upon your death or incompetency. Some states may require that we allow you to transfer this agreement in certain circumstances. If the law of any such state is determined to apply to this agreement, then we may impose requirements upon transfer, including payment of a transfer fee of $5,000 and our attorneys' fees and the prior qualification of the transferee to teach the Gok
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, franchisees generally do not have the right to transfer their franchise agreement. However, some states may have laws requiring Gokhale Method to allow transfers in certain situations.
In such cases where state law mandates that Gokhale Method allow a transfer, Gokhale Method may impose specific requirements on the transfer. These requirements can include the payment of a transfer fee.
The transfer fee that Gokhale Method may charge is $5,000, along with the reimbursement of Gokhale Method's attorneys' fees. Additionally, the person or entity to whom the franchise is being transferred must meet Gokhale Method's qualifications to teach the Gokhale System.