What is an Atwell Suites franchisee warranting when submitting each Sales Draft?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
8.1 Your Representations and Warranties. Without limiting any other warranties hereunder, you represent, warrant to, and covenant with us, and with the submission of each Sales Draft reaffirm that:
(a) each Card transaction is genuine and arises from a bona fide transaction permissible under the Card Organization Rules by the Cardholder directly with you, represents a valid obligation for the amount shown on the Sales Draft, preauthorized order, or Credit Draft, and does not involve the use of a Card for any other purpose;
(b) each Card transaction represents an obligation of the related Cardholder for the amount of the Card transaction;
(c) the amount charged for each Card transaction is not subject to any dispute, set-off or counterclaim;
(d) each Card transaction amount is only for respective merchandise or services (including taxes, but without any surcharge, except as required by Card Organization Rules) sold, leased, or rented by you pursuant to your business as indicated on the Application and, except for any delayed delivery or advance deposit Card transactions expressly authorized by the Agreement, that merchandise or service was actually delivered to or performed for the Cardholder entering into that Card transaction simultaneously upon your accepting and submitting that Card transaction for processing;
(e) with respect to each Card transaction, you have no knowledge or notice of any fact, circumstance, or defense which would indicate that such Card transaction is fraudulent or not authorized by the related Cardholder or which would otherwise impair the validity or collectability of that Cardholder's obligation arising from that Card transaction or relieve that Cardholder from liability with respect thereto;
(f) each Card transaction is made in accordance with these Terms and Conditions, Card Organization Rules, the Your Payments Acceptance Guide, and Applicable Law;
(g) each Sales Draft is free of any alteration not authorized by the related Cardholder;
(h) you have completed one Card transaction per sale;
(i) you are validly existing, in good standing, and free to enter into the Agreement;
(j) each statement made on the Application or other information provided to us in support of the Agreement is true and correct;
(k) you are not doing business under a name or style not previously disclosed to us;
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to Atwell Suites' 2025 Franchise Disclosure Document, when a franchisee submits a Sales Draft, they are making several representations and warranties to the company. These warranties cover various aspects of the card transaction, ensuring its legitimacy and adherence to established rules and laws.
Specifically, Atwell Suites franchisees warrant that each card transaction is genuine, arising from a legitimate transaction between the cardholder and the franchisee, and permissible under Card Organization Rules. The transaction must represent a valid obligation for the amount shown, without involving the card for any unauthorized purpose. The franchisee also warrants that the amount charged is not subject to any dispute, set-off, or counterclaim, and is exclusively for merchandise or services sold, leased, or rented by the franchisee's business.
Furthermore, the franchisee confirms that the merchandise or service was actually delivered or performed simultaneously with the transaction, unless explicitly authorized for delayed delivery or advance deposits. They also warrant that they have no knowledge of any fact or circumstance indicating fraud or lack of authorization by the cardholder. The Sales Draft must be free of unauthorized alterations, with only one card transaction completed per sale.
Finally, the Atwell Suites franchisee warrants that they are validly existing, in good standing, and free to enter into the agreement. They confirm that all statements made on the application or other provided information are true and correct, and that they are not operating under an undisclosed name or style. These warranties ensure the integrity of transactions and protect Atwell Suites from potential liabilities or disputes arising from improper card usage.