Does the 360 Painting FDD contain an addendum specific to Virginia franchisees?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
ADDENDUM TO 360 PAINTING, LLC FRANCHISE DISCLOSURE DOCUMENT FOR VIRGINIA FRANCHISEES
In recognition of the restrictions contained in Section 13.1-564 of the Virginia Retail Franchising Act, the Franchise Disclosure Document for 360 Painting, LLC for use in the Commonwealth of Virginia shall be amended as follows:
Item 5, Additional Disclosures. The following statement is added to Item 5:
The Virginia State Corporation Commission's Division of Securities and Retail Franchising requires us to defer payment of the initial franchise fee and other initial payments owed by franchisees to the franchisor until the franchisor has completed its pre-opening obligations under the franchise agreement.
Item 17, Additional Disclosure. The following statements are added to Item 17.g. and Item 17.h.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 42–46)
What This Means (2025 FDD)
Yes, the 2025 360 Painting FDD includes an addendum specifically for franchisees in Virginia. This addendum addresses the Virginia Retail Franchising Act and its implications for the franchise agreement.
Specifically, the addendum modifies Item 5 regarding additional disclosures by stating that the Virginia State Corporation Commission's Division of Securities and Retail Franchising requires 360 Painting to defer payment of the initial franchise fee and other initial payments until 360 Painting has completed its pre-opening obligations under the franchise agreement. The addendum also includes additional statements for Item 17, covering additional disclosures.
This addendum ensures that the 360 Painting franchise complies with Virginia state law, particularly concerning the timing of initial payments and the fulfillment of pre-opening obligations. It also indicates that Virginia franchisees have specific protections and considerations under the Virginia Retail Franchising Act, which are integrated into the franchise agreement through this addendum.