factual

In New York, can Bambu negotiate the terms covered in the Franchise Disclosure Document?

Bambu Franchise · 2025 FDD

Answer from 2025 FDD Document

THE FRANCHISOR MAY, IF IT CHOOSES, NEGOTIATE WITH YOU ABOUT ITEMS COVERED IN THE FRANCHISE DISCLOSURE DOCUMENT. HOWEVER, THE FRANCHISOR CANNOT USE THE NEGOTIATING PROCESS TO PREVAIL UPON A PROSPECTIVE FRANCHISEE TO ACCEPT TERMS THAT ARE LESS FAVORABLE THAN THOSE SET FORTH IN THIS FRANCHISE DISCLOSURE DOCUMENT.

Source: Item 23 — Receipts (FDD pages 52–209)

What This Means (2025 FDD)

According to Bambu's 2025 Franchise Disclosure Document, the franchisor may choose to negotiate terms with prospective franchisees in New York. However, Bambu is not allowed to use this negotiation process to push franchisees into accepting terms that are less favorable than what is already outlined in the Franchise Disclosure Document. This ensures that while some flexibility exists, the basic protections and standards provided in the FDD remain in place for the franchisee.

This provision is particularly important for prospective franchisees as it sets a boundary on negotiations, preventing Bambu from leveraging negotiations to weaken the franchisee's position. It ensures that the FDD serves as a baseline of rights and conditions that cannot be compromised during discussions. This protection is especially relevant in states like New York that have specific franchise laws aimed at safeguarding franchisees.

Furthermore, New York franchise law includes non-waiver provisions, reinforcing that franchisees cannot waive their rights under state law. This addendum ensures that any rights or causes of action arising from Article 33 of the General Business Law of New York remain in effect, providing an additional layer of security for franchisees operating in New York. This combination of allowing negotiations while setting a floor on franchisee protections is a balanced approach that aims to foster fair franchising practices.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.