Does the All County Acknowledgment Addendum require honest responses from the prospective franchisee?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
As you know, you and we are entering into a Franchise Agreement for the operation of an ALL COUNTY® franchise. The purpose of this Acknowledgment Addendum is to determine whether any statements or promises were made to you that we have not authorized or that may be untrue, inaccurate or misleading, and to be certain that you understand the limitations on claims that may be made by you by reason of the offer and sale of the franchise and operation of your business. Please review each of the following questions carefully and provide honest responses to each question. All representations requiring prospective franchisees to assent to a release, estoppel or waiver of liability are not intended to nor shall they act as a release, estoppel or waiver of liability incurred under the Maryland Franchise Registration and Disclosure Law.
Source: Item 22 — Contracts (FDD page 43)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, the Acknowledgment Addendum requires prospective franchisees to provide honest responses. This addendum is designed to determine if any unauthorized, untrue, inaccurate, or misleading statements or promises were made during the franchise sales process. It also ensures that the franchisee understands the limitations on claims related to the offer, sale, and operation of the All County franchise.
By requiring honest responses, All County aims to ensure transparency and prevent future disputes arising from misunderstandings or misrepresentations made during the initial stages of the franchise agreement. This requirement protects both the franchisee and the franchisor by establishing a clear record of the information exchanged and the understandings reached before the franchise agreement is finalized.
However, the FDD also notes that for residents or businesses operated in Maryland, any representations requiring prospective franchisees to assent to a release, estoppel, or waiver of liability do not act as a release, estoppel, or waiver of liability incurred under the Maryland Franchise Registration and Disclosure Law. This ensures that franchisees in Maryland retain their rights under state law, regardless of any acknowledgments made in the addendum.