What happens if a proposed Mr. Sandless transferee is unwilling to comply with all lawful obligations?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
Good cause shall include, but is not limited to:
- (iii) The unwillingness of the proposed transferee to agree in writing to comply with all lawful obligations.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 30–34)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, Mr. Sandless can refuse a transfer of ownership if the proposed transferee is unwilling to agree in writing to comply with all lawful obligations. This falls under the "good cause" reasons Mr. Sandless can use to prevent a transfer.
This means that if a franchisee wants to sell their Mr. Sandless franchise, the potential buyer must agree to follow all the legal requirements of the franchise agreement. If the buyer doesn't agree to these obligations in writing, Mr. Sandless can block the sale. This protects Mr. Sandless by ensuring that any new franchisee is committed to upholding the brand's standards and legal responsibilities.
This condition is fairly standard in franchising. Franchisors typically want to ensure that anyone taking over a franchise meets their qualifications and is willing to abide by the franchise agreement. By including this provision, Mr. Sandless retains control over who can become a franchisee and helps maintain consistency across its franchise network.