What is the significance of the deletion of Exhibit E (Representations and Acknowledgement Statement) in the Amorino FDD?

According to the 2025 Amorino FDD, Exhibit E, the Representations and Acknowledgment Statement, has been deleted. This deletion is noted in addenda for Illinois and Virginia.

The Representations and Acknowledgment Statement typically requires franchisees to confirm they are not relying on any representations made by the franchisor outside of the FDD itself and that they have conducted their own independent investigation. Removing this exhibit suggests that Amorino franchisees in Illinois and Virginia are not bound by such a statement.

This change could benefit prospective Amorino franchisees in these states, as it may provide them with more legal recourse if they believe they were misled by the franchisor during the franchise sales process. It also means that franchisees in these states may have a stronger legal standing to pursue claims against Amorino based on statements or promises made outside of the formal FDD.

It is important to note that while Exhibit E is deleted for Illinois and Virginia, the standard franchise agreement still contains clauses where the franchisee represents they have conducted their own investigation and are not relying on outside representations. Franchisees should consult with legal counsel to fully understand the implications of these changes and their rights under the franchise agreement and applicable state laws.