Are there any limits on Jack In The Box's right to assign the franchise agreement?

Based on the 2025 Franchise Disclosure Document, the Jack In The Box franchise agreement includes some stipulations regarding assignment, particularly for franchisees. Specifically, franchisees are restricted from assigning or subleasing their occupancy rights without obtaining prior written consent from Jack In The Box. This provision ensures that Jack In The Box maintains control over who operates within their franchise system and protects the brand's integrity.

In Maryland and New York, there are additional stipulations. The Maryland Franchise Registration and Disclosure Law impacts assignment terms, as seen in amendments to the Jack In The Box franchise agreement. Similarly, the New York General Business Law includes provisions that protect franchisees from being required to sign waivers or releases that would relieve Jack In The Box from duties or liabilities imposed by the law. These state-specific regulations add complexity to the assignment process, requiring careful consideration of local laws.

These clauses highlight the importance of franchisees understanding the conditions under which they can transfer their rights and obligations. For prospective franchisees, it is crucial to seek legal counsel to fully understand these assignment provisions and their implications, especially concerning state-specific amendments. While the excerpts provide information on franchisee assignment limitations and related legal protections, they do not explicitly detail any limitations on Jack In The Box's right to assign the agreement. Therefore, it would be prudent for a potential franchisee to directly inquire with Jack In The Box about any restrictions on their ability to assign the franchise agreement.