Can Lees Famous Recipe withhold consent for a franchisee's assignment of the agreement for any reason?

According to the 2025 Lees Famous Recipe Franchise Disclosure Document, Lees Famous Recipe has the authority to deny a franchisee's request to assign their franchise agreement for any reason. This means that even if a franchisee finds a suitable buyer who meets Lees Famous Recipe's standards, Lees Famous Recipe can still refuse the assignment without needing to provide a specific justification.

This level of control gives Lees Famous Recipe significant power over the transfer of its franchises. While it protects the brand by ensuring that only qualified and suitable individuals become franchisees, it also creates uncertainty for franchisees who may want to sell their business in the future. A franchisee's ability to exit the business could be severely limited if Lees Famous Recipe withholds consent without a clear, objective reason.

For a prospective franchisee, this underscores the importance of carefully considering the long-term implications of the franchise agreement. It would be prudent to discuss with Lees Famous Recipe what factors might lead them to withhold consent for an assignment and to understand their general approach to franchise transfers. Understanding these potential limitations is crucial before investing in a Lees Famous Recipe franchise.