What standards must a prospective transferee meet to satisfy the Monicals Pizza Franchisor?

aurant;

• 18.2.5 the transferee and, if Franchisor requires, all persons owning any interest in any entity that is to become a Franchise Operating Entity, have executed the then-current Franchise Agreement for new franchisees, which may be substantially different from this Agreement, including different Royalty Fee and Marketing Fund Contribution rates and other material provisions, and the franchise agreement then executed shall be for the term specified in such agreement. Notwithstanding the foregoing, any franchisee holding a franchise agreement on April 1, 2008 may on one occasion transfer that franchise agreement to a transferee who shall then be entitled to retain, for so long as that transferee holds a franchise agreement from Franchisor, the four percent (4%) royalty rate in effect on April 1, 2008. All of the other terms and provisions

of the then current Franchise Agreement (as of the date of the transfer) shall be fully effective against the transferee;

• 18.2.6 the transferee has executed a General Release, releasing any and all claims against Franchisor and its officers, directors, shareholders, managers, members, partners, owners and employees (in their corporate and individual capacities) with respect to any representations regarding the Franchise or the business conducted pursuant thereto or any other matter that may have been made to the transferee by Franchisee and/or Franchisor;
• 18.2.7 written certification that Franchisee has provided Franchisor with a complete copy of all contracts and agreements and related documentation between Franchisee and the prospective transferee relating to the intended sale or transfer of the Franchise;
• 18.2.8 Franchisee, or the transferee, has paid to Franchisor a transfer fee in the amount of TEN THOUSAND DOLLARS ($10,000.00);
• 18.2.9 the transferee, and all holders of a legal or beneficial interest in any entity that is to be a Franchise Operating Entity, have agreed to be personally bound jointly and severally by all provisions of this Agreement for the remainder of its term;
• 18.2.10 Franchisee has agreed to be bound to the obligations of the new franchise agreement and to guarantee the full performance thereof by the transferee, if required by Franchisor;
• 18.2.11 the transferee has obtained all necessary consents and approvals from third parties and all applicable federal, state and local laws, rules, ordinances and requirements applicable to the transfer have been complied with or satisfied;
• 18.2.12 the transferee has, and if the transferee is to be a Franchise Operating Entity, all of the holders of a legal and beneficial interest in the transferee have executed and delivered to Franchisor a Nondisclosure and Non-Competition Agreement;

Source: Item 23 — RECEIPTS (FDD pages 46–257)