Does the Baya Bar developer acknowledge that the franchisor's acquired businesses may be proximate to their locations?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
STATE OR TERRITORY THEREOF. THIS RELEASE SHALL NOT APPLY TO ANY CLAIMS ARISING FROM REPRESENTATIONS MADE BY FRANCHISOR IN FRANCHISOR'S FRANCHISE DISCLOSURE DOCUMENT RECEIVED BY FRANCHISEE.
| | | Initial | |--------------------------|-----------------|---------| | Acknowledged this day of | | | | PRINCIPAL: | FRANCHISEE: | | | Signature | By: | | | Name: | Name: Title: | |
EXHIBIT H-2
DEVELOPER ACKNOWLEDGEMENT STATEMENT
Developer hereby acknowledges the following:
- Developer has conducted an independent investigation of all aspects relating to the financial, operational and other aspects of the business of developing the Baya Bar outlets contemplated hereunder. Developer further acknowledges that, except as may be set forth in Franchisor's Disclosure Document, no representations of performance (financial or otherwise) for the Baya Bar outlets to be developed hereunder has been made to Developer by Franchisor and Developer hereby waives any claim against Franchisor for any business failure Developer may experience as a developer under this Agreement.
_____ Initial
- Developer agrees that no claims of success or failure have been made to him or her prior to signing this Agreement and that he/she understands all the terms and conditions of this Agreement. Developer further acknowledges that this Agreement contains all oral and written agreements, representations and arrangements between the parties hereto, and any rights which the respective parties hereto may have had under any other previous contracts are hereby cancelled and terminated, and that this Agreement cannot be changed or terminated orally; provided, however, nothing in this Multi-Unit Development Agreement or in any related agreement is intended to disclaim the representations made to Developer in Franchisor's Franchise Disclosure Document.
_____ Initial
- Developer has no knowledge of any representations by Franchisor or its officers, directors, shareholders, employees, sales representatives, agents or servants, about the business contemplated by this Agreement that are contrary to the terms of this Agreement or the documents incorporated herein. Developer acknowledges that no representations or warranties are made or implied, except as specifically set forth herein. Developer represents, as an inducement to Franchisor's entry into this Agreement, that Developer has made no misrepresentations in obtaining this Agreement.
_____ Initial
Source: Item 23 — RECEIPTS (FDD pages 56–189)
What This Means (2024 FDD)
According to Baya Bar's 2024 Franchise Disclosure Document, the developer acknowledges several aspects of their relationship with the franchisor. Specifically, the developer acknowledges they have conducted an independent investigation into the financial, operational, and other aspects of developing Baya Bar outlets. They also acknowledge that, except as set forth in the Franchise Disclosure Document, the franchisor has not made any representations of performance (financial or otherwise) for the Baya Bar outlets to be developed. The developer waives any claim against the franchisor for any business failure they may experience as a developer under the agreement.
Furthermore, the developer agrees that no claims of success or failure have been made to them prior to signing the agreement and that they understand all the terms and conditions of the agreement. The developer acknowledges that the agreement contains all oral and written agreements, representations, and arrangements between the parties, and any prior contracts are canceled and terminated. The agreement can only be changed or terminated in writing.
Finally, the developer acknowledges they have no knowledge of any representations by the franchisor or its representatives about the business that are contrary to the terms of the agreement or the documents incorporated within. The developer acknowledges that no representations or warranties are made or implied, except as specifically set forth in the agreement. The developer represents that they have made no misrepresentations in obtaining the agreement, which serves as an inducement for the franchisor to enter into the agreement. However, the FDD does not explicitly state whether the developer acknowledges that the franchisor's acquired businesses may be proximate to their locations. A prospective franchisee should seek clarification from the franchisor regarding this matter.