Can Angry Chickz require the Developer's offering materials to contain a written statement?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
ADDENDUM TO ANGRY CHICKZ FRANCHISING LLC DISCLOSURE DOCUMENT FOR THE STATE OF HAWAII
In recognition of the requirements of the Hawaii Franchise Investment Law, Hawaii Rev. Stat. §§ 482E, et seq., the Angry Chickz Franchising LLC Franchise Disclosure Document for use in the State of Hawaii is amended to include the following:
THESE FRANCHISES WILL BE/HAVE BEEN FILED UNDER THE FRANCHISE INVESTMENT LAW OF THE STATE OF HAWAII. FILING DOES NOT CONSTITUTE APPROVAL, RECOMMENDATION OR ENDORSEMENT BY THE DIRECTOR OF REGULATORY AGENCIES OR A FINDING BY THE DIRECTOR OF REGULATORY AGENCIES THAT THE INFORMATION PROVIDED HEREIN IS TRUE, COMPLETE AND NOT MISLEADING.
THE FRANCHISE INVESTMENT LAW MAKES IT UNLAWFUL TO OFFER OR SELL ANY FRANCHISE IN THIS STATE WITHOUT FIRST PROVIDING TO THE PROSPECTIVE FRANCHISEE, OR SUBFRANCHISOR, AT LEAST SEVEN DAYS PRIOR TO THE EXECUTION BY THE PROSPECTIVE FRANCHISEE OF ANY BINDING FRANCHISE OR OTHER AGREEMENT, OR AT LEAST SEVEN DAYS PRIOR TO THE PAYMENT OF ANY CONSIDERATION BY THE FRANCHISEE, OR SUBFRANCHISOR, WHICHEVER OCCURS FIRST, A COPY OF THE OFFERING CIRCULAR, TOGETHER WITH A COPY OF ALL PROPOSED AGREEMENTS RELATING TO THE SALE OF THE FRANCHISE.
THIS OFFERING CIRCULAR CONTAINS A SUMMARY ONLY OF CERTAIN MATERIAL PROVISIONS OF THE FRANCHISE AGREEMENT. THE CONTRACT OR AGREEMENT SHOULD BE REFERRED TO FOR A STATEMENT OF ALL RIGHTS, CONDITIONS, RESTRICTIONS AND OBLIGATIONS OF BOTH THE FRANCHISOR AND THE FRANCHISEE.
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
Based on the 2025 Angry Chickz Franchise Disclosure Document, the state of Hawaii requires specific language in the Angry Chickz Franchise Disclosure Document. The addendum states that the franchises have been filed under the Franchise Investment Law of the State of Hawaii. However, the filing does not mean that the Director of Regulatory Agencies approves, recommends, or endorses the franchise, nor does it mean that the Director of Regulatory Agencies has found that the information provided is true, complete, and not misleading.
The Hawaii Franchise Investment Law requires that the franchisor provide the prospective franchisee or subfranchisor a copy of the offering circular, along with all proposed agreements relating to the sale of the franchise. This must be done at least seven days before the franchisee executes any binding franchise or other agreement, or at least seven days before the franchisee pays any consideration, whichever comes first.
The offering circular contains a summary of certain material provisions of the franchise agreement. Franchisees should refer to the contract or agreement for a statement of all rights, conditions, restrictions, and obligations of both Angry Chickz as the franchisor and the franchisee.