What is the purpose of the recitals section in the Bee Organized franchise agreement?
Bee_Organized Franchise · 2025 FDDAnswer from 2025 FDD Document
RECITALS
Franchisor has developed a distinctive and proprietary system (the "System") for the development and operation of a business that offers and provides home and business organization services, life transition and moving assistance, and related concierge services (the "Approved Services and Products") under the Licensed Marks (defined below) (each business referred to as a "Franchised Business" or "Bee Organized Business");
The System is identified by the Licensed Marks and trade dress, required service and product offerings, required operating processes and procedures, required equipment and supplies, and required marketing, advertising, and business development obligations and brand standards, all of which are part of the System and may be modified by Franchisor from time to time; and
Franchisee desires to obtain the license to develop and operate a Franchised Business in conformity with the System and within a designated operating territory pursuant to the terms and conditions of this Agreement.
NOW THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and sufficiency of which is hereby mutually acknowledged, the parties do hereby agree, as follows:
ARTICLE 1 DEFINITIONS
Supplementing the terms and definitions contained in the foregoing "Recitations", the terms listed below have the following additional meanings:
Source: Item 23 — RECEIPTS (FDD pages 54–218)
What This Means (2025 FDD)
According to Bee Organized's 2025 Franchise Disclosure Document, the recitals section in the franchise agreement serves to establish the foundation and context for the agreement. The recitals outline Bee Organized's proprietary system for providing home and business organization services, life transition and moving assistance, and related concierge services, which are referred to as the "Approved Services and Products." This system is characterized by licensed marks, trade dress, required service and product offerings, operating processes, equipment, supplies, and marketing standards.
The recitals also express the franchisee's desire to obtain a license to operate a Bee Organized franchise in accordance with the established system and within a designated territory. By including these statements, the recitals clarify the intentions and understanding of both Bee Organized and the franchisee as they enter into the agreement.
Furthermore, the recitals act as consideration for the agreement, with both parties acknowledging the value and sufficiency of the recitals as a basis for their mutual promises. This section is then followed by the formal agreement, which includes definitions that supplement the terms and definitions already mentioned in the recitals. Therefore, the recitals section is a crucial introductory component that sets the stage for the detailed terms and conditions that follow in the Bee Organized franchise agreement.