Does the Benihana Statement of Prospective Franchisee ask if the franchisee signed a receipt for the FDD?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
| 1. Have you received and personally reviewed the BNC Franchise Disclosure Document ("FDD"), including all Exhibits attached to the FDD? | |||||
|---|---|---|---|---|---|
| Yes | No | ||||
| 2. | Yes | Did you sign a receipt for the FDD indicating the date you received it? No | |||
| 3. | Yes | Have you received and personally reviewed the BNC Franchise Agreement? No | |||
| 4. | Agreement? Yes | Do you understand all of the information contained in the FDD and the BNC Franchise No | |||
| 5. | Yes | Has any employee or other person speaking on behalf of BNC made any statement or promise concerning the revenue, profits, or operating costs of BENIHANA Restaurant operated by BNC or its franchisees? No | |||
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, Exhibit F includes a Statement of Prospective Franchisee that requires completion by all franchisees and guarantors before signing the Franchise Agreement. This questionnaire aims to identify any unauthorized, untrue, inaccurate, or misleading statements or promises made by Benihana employees or representatives. Benihana relies on the franchisee's answers when agreeing to enter into a franchise relationship.
Specifically, the Statement of Prospective Franchisee asks whether the franchisee signed a receipt for the FDD, indicating the date they received it. This question is presented in a 'Yes' or 'No' format, requiring a direct response from the prospective franchisee.
This requirement ensures that Benihana can verify that the franchisee received the FDD and was informed of their rights and obligations before entering into the agreement. It also serves as a legal protection for Benihana, confirming that they provided the necessary disclosure documents within the legally mandated timeframe. Franchisees should answer truthfully and carefully, as these statements are material to the franchise agreement.