What documents must a Pump It Up franchisee provide to Pump It Up relating to the transfer of the franchise?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
- B.
Governing Documents.
If you are an Entity, you must provide us with true, correct, and fully executed copies of your organizational and governing documents ("Governing Documents").
These Governing Documents should be provided to us no later than your execution of this Agreement.
If your Governing Documents are modified or changed, you must promptly provide copies of the modified and/or changed documents to us.
(g) if you or your owners finance or intend to finance any part of the sale to the proposed transferee , you and/or your owners agree that all of the transferee's obligations under any promissory notes, agreements, or security interests reserved in the Franchised Business are subordinate to the transferee's obligation to pay Royalties, Brand Fund contributions, and other amounts due to us, our affiliates, and third-party vendors and otherwise to comply with this Agreement; you (and your transferring owners) must sign a general release, in a form satisfactory to us, which releases any and all claims against us and our affiliates, officers, directors, employees, and agents; and
(c) you and the proposed transferee must sign either an assignment agreement and any amendments to this Agreement deemed necessary or desirable by us to reflect the Transfer, or our then-current standard form of franchise agreement for an initial term ending on the expiration date of the Initial Term of this Agreement.
We will choose which documents you and the proposed transferee are required to sign.
In either event, if the proposed transferee is an Entity, the transferee must complete Exhibit 4 as required by Section 14.B. and all individuals identified in Section 14.C. must sign the guaranty attached as Exhibit 5;
- (e) you (and all of your owners) must, at our request, sign a written guaranty pursuant to which you will remain liable for all obligations to us incurred before the date of the Transfer.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, if the franchisee is an entity such as a corporation, limited liability company, or partnership, they must provide Pump It Up with true, correct, and fully executed copies of their organizational and governing documents. These documents should be provided no later than the execution of the Franchise Agreement. If these governing documents are modified or changed, the franchisee must promptly provide copies of the modified and/or changed documents to Pump It Up.
Additionally, prior to the transfer of the franchise becoming effective, the franchisee must sign a general release, in a form satisfactory to Pump It Up, which releases any and all claims against Pump It Up and its affiliates, officers, directors, employees, and agents. The franchisee and the proposed transferee must also sign either an assignment agreement and any amendments to the Franchise Agreement deemed necessary or desirable by Pump It Up to reflect the transfer, or Pump It Up's then-current standard form of franchise agreement for an initial term ending on the expiration date of the Initial Term of the Franchise Agreement. Pump It Up will choose which documents the franchisee and the proposed transferee are required to sign.
If the proposed transferee is an entity, the transferee must complete Exhibit 4 as required by Section 14.B, and all individuals identified in Section 14.C must sign the guaranty attached as Exhibit 5. The franchisee (and all of their owners) must, at Pump It Up's request, sign a written guaranty pursuant to which they will remain liable for all obligations to Pump It Up incurred before the date of the transfer.