What is the purpose of the State-Specific Addendum for Best In Class Education Center franchises?
Best_In_Class_Education_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
BACKGROUND AND PURPOSE
The following modifications are made to the Best In Class Education Center Franchise Disclosure Document ("FDD" or "Disclosure Document") issued by BiC Franchise System Corporation ("we" or "us" or "franchisor") to franchisee ("you" or "franchisee") and may supersede, to the extent required by applicable state law, certain portions of the Franchise Agreement between you and us dated _________________________, 202__ (the "Franchise Agreement"). When the term "Supplemental Agreements" is used, it means any area development agreement, area representative agreement, master franchise agreement, or similar agreement entered into between us and you, if applicable.
Certain states have laws governing the franchise relationship and franchise documents. Certain states require modifications to the FDD, Franchise Agreement, Supplemental Agreements and other documents related to the sale of a franchise. This State-Specific Addendum ("State Addendum") will modify these agreements to comply with the applicable state's laws. The terms of this State Addendum will only apply if you meet the requirements of the applicable state independently of your signing of this State Addendum.
Source: Item 23 — RECEIPT (FDD pages 47–204)
What This Means (2025 FDD)
According to the 2025 Best In Class Education Center Franchise Disclosure Document, the State-Specific Addendum modifies the FDD, Franchise Agreement, and other related documents to comply with specific state laws governing franchise relationships. These modifications are required in certain states to ensure that the franchise agreement adheres to local regulations.
The State Addendum applies only if the franchisee meets the requirements of the specific state, independent of signing the addendum. The terms within the State Addendum for the applicable state will override any conflicting provisions in the FDD, Franchise Agreement, or any supplemental documents. This addendum is relevant for franchises in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin.
If a franchisee's state requires these modifications, they will sign the State Addendum along with the Franchise Agreement and any Supplemental Agreements. However, if the franchisee signs the State Addendum but does not meet the jurisdictional requirements of any of the listed states, the State Addendum will be void and not applicable to them. This ensures that the franchise agreement is legally sound and compliant with the laws of the state in which the Best In Class Education Center franchise operates.