Regarding the operation of an Auntie Annes franchise, does the Franchise Agreement state that no employee or person speaking on behalf of Auntie Annes has made any statement or promise regarding costs that are not contained in the Disclosure Document?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
No employee or other person speaking on our behalf has made any statement or promise regarding the actual, average or projected profits or earnings, the likelihood of success, the amount of money you may earn, or the total amount of revenue an Auntie Anne's® franchise will generate, that is not contained in the Disclosure Document or that is contrary to, or different from, the information contained in the Disclosure Document. Initial 7. You understand that the Franchise Agreement contains the entire agreement between us and you concerning the franchise for the Auntie Anne's® franchise, meaning any prior oral or written statements not set out in the Franchise Agreement will not be binding. YOU UNDERSTAND THAT YOUR ACKNOWLEDGEMENT OF THE STATEMENTS ABOVE ARE IMPORTANT TO US AND THAT WE WILL RELY ON THEM. BY SIGNING THIS ACKNOWLEDGEMENT, YOU ARE REPRESENTING THAT YOU HAVE CONSIDERED EACH STATEMENT CAREFULLY AND THAT EACH STATEMENT IS ACCURATE AND TRUTHFUL.
Source: Item 22 — CONTRACTS (FDD page 106)
What This Means (2024 FDD)
According to the 2024 Auntie Annes Franchise Disclosure Document, the Franchise Agreement includes an acknowledgement that no employee or person speaking on behalf of Auntie Annes has made any statements or promises regarding the actual, average, or projected profits or earnings, the likelihood of success, the amount of money you may earn, or the total amount of revenue an Auntie Anne's franchise will generate, that is not contained in the Disclosure Document.
This acknowledgement is designed to ensure that prospective franchisees are not relying on any information outside of the official FDD when making their investment decision. It aims to prevent misunderstandings or misrepresentations about potential financial performance. The franchisee must initial this acknowledgement, confirming its accuracy and truthfulness. If a franchisee finds any statement inaccurate, they are instructed to cease signing the acknowledgement and contact Auntie Anne's Senior Vice President of Franchise Administration.
This type of clause is common in franchise agreements to protect both the franchisor and franchisee. It limits the franchisor's liability for any unauthorized representations and ensures that franchisees base their decisions on the documented information provided in the FDD. The franchisee acknowledges that the Franchise Agreement constitutes the entire agreement, superseding any prior oral or written statements not included in it.
Prospective Auntie Annes franchisees should carefully review all statements in the acknowledgement and verify their accuracy before signing. If there are any discrepancies or concerns, they should follow the provided instructions to contact Auntie Anne's for clarification. This process helps ensure transparency and protects the franchisee's interests by relying solely on the information within the FDD and the Franchise Agreement.