What are 'Anti-Terrorism Laws' as defined in the 1 800 Packouts franchise agreement?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
- (2) In connection with your compliance with applicable legal requirements, you and your Owners certify, represent, and warrant that none of your or any of your Owner's property or interests is subject to being "blocked" under any of the Anti-Terrorism Laws and that you and your Owners are not otherwise in violation of any of the Anti-Terrorism Laws. For the purposes of this Section, the term "Anti-Terrorism Laws" means any laws against terrorism or terrorist activities or acts of war applicable to Your Territory, the Terrorism Sanctions Regulations (Title 31, Part 595 of the U.S. Code of Federal Regulations), the Foreign Terrorist Organizations Sanctions Regulations (Title 31, Part 597 of the U.S. Code of Federal Regulations), the Cuban Assets Control Regulations (Title 31, Part 515 of the U.S. Code of Federal Regulations), and the USA PATRIOT Act. You further certify that neither you nor your Owners are listed on the Annex to Executive Order 13244 (the Annex is available at http://www.treasury.gov) and will not become so listed, hire any person so listed or have dealings with a person so listed. You agree to immediately notify us if you or any of your Owners become so listed. If you, your Owners, your Manager or your employees violate any of the Anti-Terrorism Laws or become listed on the Annex to Executive Order 13244, we may terminate this Agreement immediately.
Source: Item 23 — RECEIPT (FDD pages 67–238)
What This Means (2025 FDD)
According to 1 800 Packouts's 2025 Franchise Disclosure Document, the term "Anti-Terrorism Laws" is specifically defined within the franchise agreement to ensure compliance with legal requirements. This definition is important for franchisees and their owners to understand, as it requires them to certify that neither their property nor interests are subject to being "blocked" under these laws. Furthermore, they must warrant that they are not in violation of any Anti-Terrorism Laws. Violation of these laws can lead to immediate termination of the franchise agreement.
The definition of "Anti-Terrorism Laws" includes any laws against terrorism, terrorist activities, or acts of war applicable to the franchisee's territory. It also encompasses specific U.S. regulations such as the Terrorism Sanctions Regulations (Title 31, Part 595 of the U.S. Code of Federal Regulations), the Foreign Terrorist Organizations Sanctions Regulations (Title 31, Part 597 of the U.S. Code of Federal Regulations), the Cuban Assets Control Regulations (Title 31, Part 515 of the U.S. Code of Federal Regulations), and the USA PATRIOT Act.
Additionally, franchisees and their owners must certify that they are not listed on the Annex to Executive Order 13244, which is available on the U.S. Department of the Treasury's website. They must also agree not to hire or have dealings with any person listed on this annex. Franchisees are obligated to immediately notify 1 800 Packouts if they or any of their owners become listed. This requirement places a significant responsibility on the franchisee to conduct thorough due diligence and maintain ongoing compliance to avoid potential legal and contractual repercussions.