Does the franchisee acknowledge in the 1 800 Packouts agreement that they have read the Franchise Disclosure Document?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
20. ACKNOWLEDGEMENTS AND ENTITIES
A. ACKNOWLEDGMENTS
- (1) You acknowledge that you have read this Agreement and our Franchise Disclosure Document and that you understand and accept the terms, conditions and covenants contained in this Agreement as being reasonably necessary to maintain our high standards of quality and service and the uniformity of those standards at all Franchised Businesses and to protect and preserve the goodwill of the Marks and the System.
- (2) You further acknowledge that you have conducted an independent investigation of the Franchised Business contemplated by this Agreement and recognize that, like any other business, the nature of the business conducted by Franchised Businesses may evolve and change over time, that an investment in a Franchised Business involves business risks and that the success of a Franchised Business is largely dependent upon the business abilities and efforts of you and your Owners. You also acknowledge and agree that you have investigated the laws applicable to the operation of a Franchised Business, including professional licenses necessary for you to operate a Franchised Business.
- (3) You have applied for a franchise to own and operate a Franchised Business and understand that we have approved your application in reliance upon all of the representations made in that application and in this Agreement.
Source: Item 23 — RECEIPT (FDD pages 67–238)
What This Means (2025 FDD)
According to 1 800 Packouts' 2025 Franchise Disclosure Document, the franchisee does acknowledge that they have read the Franchise Agreement and the Franchise Disclosure Document (FDD). Specifically, the franchisee acknowledges that they understand and accept the terms, conditions, and covenants within the agreement. They recognize these terms as reasonably necessary to maintain 1 800 Packouts' standards for quality and service across all franchised businesses, and to protect the goodwill associated with the brand's marks and system. This acknowledgement is a standard component of franchise agreements.
Furthermore, the franchisee acknowledges that they have conducted an independent investigation of the 1 800 Packouts franchised business. They recognize the inherent business risks involved and understand that the success of the business largely depends on their own abilities and efforts, as well as those of their owners. This acknowledgement underscores that franchisees should not rely solely on the franchisor's representations but should perform their own due diligence.
In addition to acknowledging the reading and understanding of the agreement and FDD, the franchisee confirms that they have investigated the laws applicable to operating a 1 800 Packouts franchise, including any necessary professional licenses. The franchisee also acknowledges that 1 800 Packouts approved their application for a franchise in reliance on the representations made within that application and the franchise agreement.