Is Benihana relying on the answers provided in the Statement of Prospective Franchisee when entering into a franchise relationship?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
As you know, you and Benihana National Corp. ("BNC") are preparing to enter into a Franchise Agreement for the establishment and operation of a BENIHANA® Restaurant. The purpose of this Questionnaire is to determine whether any statements or promises were made to you by any BNC employee or representative that BNC has not authorized and that may be untrue, inaccurate, or misleading. Please review each of the following questions carefully and provide honest and complete responses to each question. The answers you provide in this Questionnaire are material to BNC, and BNC is relying on all such answers in agreeing to enter into a franchise relationship with you.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, Benihana relies on the answers provided in the Statement of Prospective Franchisee when deciding to enter into a franchise relationship. Prior to signing the Franchise Agreement, prospective franchisees and guarantors must complete the Statement of Prospective Franchisee.
The purpose of this questionnaire is to determine if any unauthorized statements or promises were made by any Benihana employee or representative that may be untrue, inaccurate, or misleading. Benihana requires honest and complete responses to each question in the questionnaire.
This means that Benihana uses the Statement of Prospective Franchisee to ensure that the prospective franchisee has not been given any misleading information or unauthorized promises. It also confirms that the franchisee understands the terms of the franchise agreement. The answers provided in the questionnaire are considered material to Benihana's decision to grant a franchise.