Does the Baya Bar Franchise Agreement include a document related to ACH withdrawals?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
A copy of all proposed agreements regarding the franchise offering are included in this Disclosure Document, as follows:
- Exhibit B The Franchise Agreement and all attachments to it (Marks, Territory, General Release, ACH Authorization, Collateral Assignment of Lease, Statement of Ownership Interests in Franchisee, Telephone, Internet, and Social Media Listing Assignment Agreements, Spousal Guaranty, and Confidentiality and Non-Compete Agreement).
AUTHORIZATION AGREEMENT AUTOMATIC DEPOSITS (ACH WITHDRAWALS)
Franchisor Name: Baya Bar Franchise Systems, LLC
I (We) hereby authorize Baya Bar Franchise Systems, LLC, hereinafter called Franchisor, to initiate debit entries to my (our) Checking Account/Savings Account (Select One) indicated below at the depository financial institution named below, and to debit the same to such account. I (We) acknowledge that the origination of ACH transactions to my (our) account must comply with the provisions of U.S. Law, and that I will be responsible for any banking fees that my institution charges.
Source: Item 22 — CONTRACTS (FDD page 56)
What This Means (2024 FDD)
Yes, according to the 2024 Baya Bar Franchise Disclosure Document, the Franchise Agreement includes a document related to ACH withdrawals. Item 22 lists all proposed agreements included in the Disclosure Document. Exhibit B to Item 22 specifically mentions an "ACH Authorization" as an attachment to the Franchise Agreement.
Furthermore, the document includes an "Authorization Agreement Automatic Deposits (ACH Withdrawals)" form. This agreement authorizes Baya Bar Franchise Systems, LLC to initiate debit entries to the franchisee's checking or savings account at their designated financial institution. The franchisee is responsible for any banking fees charged by their institution related to these ACH transactions, and the transactions must comply with U.S. Law.
This means that as a Baya Bar franchisee, you will likely be required to authorize Baya Bar to automatically withdraw funds from your bank account for various fees or payments. It is important to carefully review the terms of the ACH Authorization agreement and understand what payments will be debited and when. Franchisees should also ensure they understand their bank's policies regarding ACH transactions and any associated fees.