Who is responsible for brokerage commissions in a Learningrx franchise transfer resulting from a third-party broker?

According to the 2025 Learningrx Franchise Disclosure Document, in the event that a franchise transfer involves a third-party broker, the responsibility for paying the brokerage commissions falls solely on either the franchisee or the transferee. This means that Learningrx itself will not be responsible for covering these costs.

For a prospective Learningrx franchisee, this implies that if they decide to sell their franchise through a broker, they (as the franchisee) or the buyer (transferee) will need to negotiate and agree upon who will pay the broker's commission. It's crucial to factor this potential cost into the financial planning for the franchise transfer. The FDD stipulates that all such commissions must be paid in full before Learningrx deems the transfer effective.

This condition ensures that Learningrx is not involved in or liable for any brokerage fees associated with the transfer of ownership. It is a standard practice in franchising to clearly define financial responsibilities during franchise transfers to avoid disputes and ensure a smooth transition. Therefore, franchisees should carefully consider this aspect when planning to sell their Learningrx franchise and engage a third-party broker.