Does the All Team franchise agreement consider ATFC's disapproval a guarantee?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
No ATFC action, refusal to act, approval, disapproval, consent or refusal to consent is, or shall be deemed, a guarantee, warranty, or representation that the Agency complies with, or meets any local, municipal, state, federal, or other laws or regulations relating to the offer of services or otherwise.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the franchise agreement explicitly states that no action taken by ATFC, including disapproval or refusal to act, should be considered a guarantee, warranty, or representation that the agency complies with any laws or regulations. This means that All Team franchisees cannot interpret any approval or disapproval from ATFC as a guarantee of legal or regulatory compliance.
This provision protects All Team from liability if a franchisee's agency fails to comply with local, municipal, state, federal, or other laws or regulations. It emphasizes that the franchisee is responsible for ensuring their agency's compliance, regardless of any actions taken or not taken by All Team.
For a prospective All Team franchisee, this means they must independently verify compliance with all applicable laws and regulations. They cannot rely on All Team's actions or inactions as a guarantee of compliance. This underscores the importance of conducting thorough due diligence and seeking professional advice to ensure the agency operates legally and ethically.