factual

With whom should a Beverly Anns Cookie franchisee settle any disputes regarding equipment performance?

Beverly_Anns_Cookie Franchise · 2025 FDD

Answer from 2025 FDD Document

New Franchisee agrees that any claims, disputes, or issues relating New Franchisee's acquisition of the Franchised Business from Franchisee are between New Franchisee and Former Franchisee, and shall not involve Franchisor.

Source: Item 22 — CONTRACTS (FDD page 57)

What This Means (2025 FDD)

The 2025 Beverly Anns Cookie Franchise Disclosure Document (FDD) addresses dispute resolution in the context of a new franchisee acquiring an existing franchised business. Specifically, if a new franchisee (New Franchisee) purchases the rights to an existing Beverly Anns Cookie franchise from a former franchisee (Former Franchisee), any disputes or claims related to the acquisition of the franchised business are solely between the New Franchisee and the Former Franchisee.

According to the FDD, Beverly Anns Cookie (referred to as "Franchisor") plays no role in the transaction between the New Franchisee and the Former Franchisee beyond approving the assignment and the New Franchisee's signing of the franchise agreement. The FDD explicitly states that any issues arising from the New Franchisee's acquisition of the business from the Former Franchisee should not involve Beverly Anns Cookie.

This means that if a New Franchisee encounters problems with equipment acquired as part of the business transfer, the franchisee must resolve those issues directly with the Former Franchisee. Beverly Anns Cookie is not responsible for mediating or settling such disputes. This arrangement is distinct from situations where a franchisee purchases new equipment directly from Beverly Anns Cookie or its approved suppliers, where the franchisor might have a more direct responsibility for equipment performance.

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.