Under what conditions are transfer fees collectable for a Moes Southwest Grill franchise in Washington?

According to the 2025 Moes Southwest Grill Franchise Disclosure Document, transfer fees in Washington state are collectable only to the extent that they reflect the franchisor's reasonable estimated or actual costs in effecting a transfer. This means that Moes Southwest Grill cannot charge an arbitrary or inflated transfer fee. The fee must be directly related to the expenses the company incurs during the transfer process.

This provision protects franchisees in Washington from excessive transfer fees that do not correspond to the actual costs incurred by Moes Southwest Grill. It ensures that the transfer fee is fair and reasonable, reflecting the work and expenses involved in approving and processing the transfer of the franchise.

For a prospective Moes Southwest Grill franchisee in Washington, this is a beneficial clause. It provides some assurance that transfer fees will be justifiable and not a source of unreasonable profit for the franchisor. Franchisees should still carefully review the specific transfer fee and request a detailed breakdown of the costs to ensure compliance with this requirement.