For a non-control transfer of a Moes Southwest Grill franchise, how much advance notice must be given?
Moes_Southwest_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
For any Transfer that does not result in a Control Transfer, you must give us advance notice and submit a copy of all proposed contracts and other information concerning the Transfer and transferee that we may request.
We will have a reasonable time (not less than 30 days) after we have received all requested information to evaluate the proposed Transfer.
Source: Item 22 — Contracts (FDD page 92)
What This Means (2025 FDD)
According to the 2025 Moe's Southwest Grill FDD, a franchisee seeking a non-control transfer must provide advance notice to Moe's Southwest Grill. After Moe's Southwest Grill receives all the requested information, they require a reasonable amount of time, but not less than 30 days, to evaluate the proposed transfer.
This means that if you are planning to transfer your franchise but retain some level of control, you need to inform Moe's Southwest Grill well in advance. This allows them to review the potential transferee's qualifications and assess the terms of the transfer agreement. The 30-day minimum evaluation period starts only after Moe's Southwest Grill has received all the necessary documentation, so it's in your best interest to submit a complete package promptly.
It's important to note that Moe's Southwest Grill has the right to withhold consent for the transfer based on reasonable grounds or to impose reasonable conditions. This could include ensuring that all outstanding payments are settled, the franchisee is not in default, and the transferee meets the brand's standards for new franchisees. Additionally, a transfer fee equal to 10% of the then-current initial franchise fee is required for non-control transfers. Therefore, franchisees should carefully review all requirements and potential costs associated with the transfer process.