When assigning a Precision Door Service franchise, what agreement does the Assignee agree to sign?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
ICE® FRANCHISED BUSINESS WITHOUT THE WRITTEN CONSENT OF FRANCHISOR. FURTHER, YOU AGREE TO INDEMNIFY AND HOLD HARMLESS SERVICETITAN AND ITS SUBSIDIARIES, AFFILIATES, OFFICERS, AGENTS, AND EMPLOYEES, FOR ANY DAMAGES, EXPENSES, LOSSES OR LIABILITIES SUFFERED BY YOU IN CONNECTION WITH ANY SUCH ACTIONS OF FRANCHISOR WHETHER SUCH DAMAGES ARE UNDER CONTRACT OR TORT OR UNDER ANY OTHER THEORY OF LIABILITY.
YOU AGREE THAT YOU WILL AT ALL TIMES COMPLY WITH THE TERMS OF USE WITH RESPECT TO THE SYSTEM WHICH ARE ACCESSIBLE AT http://www.servicetitan.com/TermsOfService. FOR THE PURPOSES OF THE TERMS OF USE, YOU CONSENT TO THE DISCLOSURE AND ACCESS RIGHTS GRANTED TO FRANCHISOR HEREBY. SERVICETITAN, INC. IS AN INTENDED THIRD PARTY BENEFICIARY TO THIS AGREEMENT.
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EXHIBIT L-1
ASSIGNMENT AND CONSENT AGREEMENT
ASSIGNMENT AND CONSENT AGREEMENT
This Assignment and Consent Agreement (this "Agreement") is made effective as of the date Franchisor signs below (the "Effective Date") and is entered into by and among [ ] ("Franchisee"), and [ ] (a "Franchisee Principal(s)") (Franchisee and Franchisee Principal(s) collectively referred to as "Assignor"), [ ] ("Assignee"), and PRECISION DOOR SERVICE SPV LLC, a Delaware limited liability company having a principal place of business at 2395 Washington Avenue, Suite 5, Titusville, Florida 32780 ("Franchisor"). All capitalized terms not defined in this Agreement have the respective meanings set forth in the Old Franchise Agreement (as defined below).
RECITALS
| Member’s Equity | ||
|---|---|---|
| Additional paid-in equity | $2,780,580 | $2,944,568 |
| Accumulated earnings | 335,404 | 168,428 |
| Accumulated other comprehensive income/(loss) | (4,769 ) | (22,873 ) |
| Total Member’s Equity | 3,111,215 | 3,090,123 |
| Total liabilities and member’s equity | $3,198,931 | $3,161,602 |
- B. Assignor desires to assign to Assignee all right, title and interest in the Franchised Business, including the franchise rights for the Franchised Business (the "Assignment"); Assignee wishes to accept the Assignment and, as of the Effective Date, assume all of the duties, obligations, and liabilities of Assignor related thereto by entering into a purchase and sale agreement with Assignor and by signing a franchise agreement with Franchisor.
- C. Assignor represents that there is no dispute related to the offer and sale of the Old Franchise Agreement or Franchised Business, and further represents that Assignor has no claims against Franchisor under applicable laws.
- D.
Source: Item 23 — Receipts (FDD pages 92–433)
What This Means (2025 FDD)
According to the 2025 Precision Door Service FDD, when a franchisee assigns their franchise rights to another party (the Assignee), the Assignee must sign an "Assignment and Consent Agreement." This agreement ensures that the Assignee takes on all the duties, obligations, and liabilities of the original franchisee, including customer obligations like warranty work and service plans.
The Assignment and Consent Agreement documents the transfer of rights and responsibilities from the Assignor (the original franchisee) to the Assignee (the new franchisee). By signing this agreement, the Assignee agrees to be bound by all the terms and conditions of the original franchise agreement. This protects Precision Door Service by ensuring the new franchisee is legally obligated to uphold the standards and commitments of the franchise system.
Additionally, the agreement stipulates that the Assignor represents there are no disputes related to the original franchise agreement or franchised business and that the Assignor has no claims against Precision Door Service. In return for Precision Door Service consenting to the assignment, the Assignor agrees to settle any known or unknown disputes they may have against the franchisor as of the effective date of the agreement. This clause aims to prevent future legal issues arising from the previous franchisee's operation of the business.