To whom must the Mr. Sandless franchisee assign the telephone number upon expiration, transfer, or termination of the Franchise Agreement?

According to the 2025 Mr. Sandless Franchise Disclosure Document, upon termination or expiration of the Franchise Agreement, the franchisee must notify the telephone company and all listing agencies of the termination or expiration of their right to use any telephone number and any classified or other telephone directory listings associated with such names and to authorize the transfer of same to Mr. Sandless or its new franchisee. Mr. Sandless retains sole rights to and interest in all telephone numbers associated with the Proprietary Marks. The franchisee must also provide Mr. Sandless, upon execution of the agreement, with an undated assignment of the telephone number.

This means that when a Mr. Sandless franchise agreement ends, the franchisee is obligated to transfer the rights to any phone numbers associated with the business to either Mr. Sandless itself or to a new franchisee designated by Mr. Sandless. This ensures that Mr. Sandless maintains control over its brand identity and customer communications, even when a franchise changes hands or ceases operation.

This requirement is fairly standard in franchising, as it protects the franchisor's brand and ensures a smooth transition when a franchise location is transferred. It prevents a former franchisee from using the established phone number to divert customers to a competing business, which could damage the Mr. Sandless brand and confuse customers. By retaining control of the phone number, Mr. Sandless can ensure that customers continue to reach a representative of the Mr. Sandless system, maintaining continuity and customer service standards.