What legal rights does a Beverly Anns Cookie franchisee waive when financing through Osgood Bank?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
| Security Required | Personal Guaranty of Owner, Partner or Shareholder and pledge of the Franchise(3) |
|---|---|
| Liability Upon Default | Late penalty; acceleration of amounts due; fees(4) |
| Loss of Legal Right On | Waiver of trial by jury and right to interpose any defense, set-off, or counterclaim of any nature or description(5) |
| Default | |
| Fee(s) | $250 Documentation Fee. Amount can be financed in loan. |
Source: Item 10 — FINANCING (FDD pages 33–37)
What This Means (2025 FDD)
According to the 2025 Beverly Anns Cookie Franchise Disclosure Document, a franchisee who obtains financing through Osgood Bank will be required to sign a Promissory Note and Security Agreement. This agreement stipulates that the franchisee waives certain legal rights.
Specifically, the franchisee waives the right to a trial by jury in the event of a dispute. Additionally, the franchisee gives up the right to interpose any defense, set-off, or counterclaim. This means that the franchisee cannot use any potential grievances or disputes with Osgood Bank as a reason to withhold payment or otherwise contest the loan agreement.
These waivers are significant because they limit the franchisee's legal recourse in case of disagreements or issues with the financing terms. It is important for prospective Beverly Anns Cookie franchisees to fully understand the implications of these waivers and to seek legal counsel to assess the risks involved before signing any financing agreements with Osgood Bank.
| Security Required | Personal Guaranty of Owner, Partner or Shareholder and pledge of the Franchise(3) |
|---|---|
| Liability Upon Default | Late penalty; acceleration of amounts due; fees(4) |
| Loss of Legal Right On | Waiver of trial by jury and right to interpose any defense, set-off, or counterclaim of any nature or description(5) |
| Default | |
| Fee(s) | $250 Documentation Fee. Amount can be financed in loan. |