Does the All States M.E.D. Franchise Agreement require the franchisor to sign the agreement?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
WHEREAS, Franchisee desires to operate an All States M.E.D. Business, has applied for the Franchise and such application has been approved by Franchisor in reliance upon all of the representations made herein and therein; and
WHEREAS, Franchisee understands and acknowledges the importance of Franchisor's high and uniform standards of quality, operations and service and the necessity of operating the Franchised Business in strict conformity with Franchisor's System.
NOW, THEREFORE, Franchisor and Franchisee, intending to be legally bound, agree as follows:
1. DEFINITIONS
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to the 2024 All States M.E.D. Franchise Disclosure Document, the Franchise Agreement requires All States M.E.D. Franchising, LLC, as the franchisor, to sign the agreement. This is evident from the recitals section of the agreement, which states that "Franchisor and Franchisee, intending to be legally bound, agree as follows." This indicates a mutual agreement that requires both parties, including the franchisor, to sign in order to be legally binding.
Furthermore, the document includes an "Unlimited Guaranty and Assumption of Obligations" which is tied to the execution of the Franchise Agreement by All States M.E.D. Franchising, LLC. This guaranty is provided as an inducement for the franchisor to enter into the agreement, implying that the franchisor's signature is a necessary component for the agreement to take effect. The guarantor is guaranteeing the franchisee's performance under the agreement, which is contingent on the franchisor also being a signatory.
In essence, the structure and language of the All States M.E.D. Franchise Agreement, as described in the FDD, clearly indicate that the franchisor's signature is required to formalize and validate the agreement, ensuring that both parties are legally bound by its terms and conditions.