What happens if an Itan franchisee attempts a Transfer without approval?

According to Itan's 2025 Franchise Disclosure Document, any transfer of the franchise that is not a 'Permitted Transfer' and lacks Itan's approval is considered void and constitutes a breach of the Franchise Agreement.

This means that if a franchisee attempts to sell, assign, or otherwise transfer their Itan franchise to another party without first obtaining the franchisor's consent, the transfer will not be legally recognized. Furthermore, the franchisee would be in violation of the franchise agreement, which could lead to penalties or termination of the agreement.

It is important for prospective Itan franchisees to understand the conditions under which a transfer will be approved. The FDD outlines several conditions that must be met for Itan to approve a transfer, including the transferee meeting Itan's criteria for franchisees, compliance with all agreements, completion of training, landlord consent, obtaining necessary licenses and permits, and payment of a $10,000 transfer fee. Franchisees should carefully review these requirements and ensure they are able to meet them before attempting to transfer their franchise.