What is the maximum late charge permitted by law for a Beverly Anns Cookie loan payment?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
ue to changes in the Equipment configuration accepted by you which may occur prior to our acceptance of this Loan. Restrictive endorsements on checks you send to us will not reduce your obligations to us. For any payment whic
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Beverly Anns Cookie Franchise Disclosure Document, if a franchisee's payment is not received by its due date, they must pay a late charge. This charge is the higher of either 10% of the amount due or $25.00. However, the late charge cannot exceed the maximum amount permitted by law.
This means that while Beverly Anns Cookie stipulates a specific late fee structure, the actual charge will be subject to state and federal regulations regarding maximum permissible late fees. It is important for prospective franchisees to understand that these legal limits can vary by jurisdiction, and Beverly Anns Cookie will adhere to those limits.
Therefore, a potential franchisee should investigate the specific laws in their area to determine the maximum late charge that could be applied to their loan payments. This information is crucial for budgeting and understanding the full financial obligations of the franchise agreement.