factual

What is the purpose of the Rider to the Franchise Agreement for Beem Light Sauna franchisees in Illinois?

Beem_Light_Sauna Franchise · 2025 FDD

Answer from 2025 FDD Document

without reasonable cause. If any

ground for default or termination stated in the Franchise Agreement does not constitute "reasonable cause," as that term may be defined in the Virginia Retail Franchising Act or the laws of Virginia, that provision may not be enforceable.

  1. The following paragraph is added to the end of Item 17:

No statement, questionnaire, or acknowledgement signed or agreed to by you in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by us, any franchise seller, or any other person acting on behalf of us. This provision supersedes any other term of any document executed in connection with the franchise.

WASHINGTON

(See State-Specific Riders to the Franchise Agreement.)

THE FOLLOWING PAGES IN THIS EXHIBIT ARE STATE-SPECIFIC RIDERS TO THE FRANCHISE AGREEMENT

RIDER TO THE FRANCHISE AGREEMENT FOR USE IN ILLINOIS

THIS RIDER (this "Rider") is made and entered into by and between Beem Franchisor LLC, a Delaware limited liability company with its principal place of business at 4000 MacArthur Blvd., Suite 800, Newport Beach, California 92660 ("Franchisor"), and the person or entity identified on Appendix A as the franchisee ("Franchisee") with its principal place of business as set forth o

Source: Item 23 — RECEIPT (FDD pages 71–230)

What This Means (2025 FDD)

According to the 2025 Beem Light Sauna Franchise Disclosure Document, the Rider to the Franchise Agreement for use in Illinois is required when any offering or sales activity relating to the Franchise Agreement occurred in Illinois, the studio operated under the Franchise Agreement will be located in Illinois, or the franchisee is domiciled in Illinois.

Specifically, the Rider modifies the governing law of the agreement. It replaces the original Section 16.1 of the Franchise Agreement, stipulating that Illinois law governs the agreement, except to the extent governed by the Federal Arbitration Act or other federal law.

Additionally, the Rider adds to Section 16.3(d) of the Franchise Agreement concerning consent to jurisdiction. This ensures that Illinois franchisees are subject to specific legal provisions and protections within their state.

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.