Does the Bft agreement disclaim the representations the Franchisor made in the Franchise Disclosure Document furnished to the Developer?

According to the 2025 Bft Franchise Disclosure Document, the agreement does not disclaim the representations Bft made in the Franchise Disclosure Document furnished to the Developer. Specifically, the agreement states that nothing within it or any related agreement is intended to disclaim these representations. This ensures that the developer can rely on the information provided in the FDD when making their investment decision.

However, the FDD also includes provisions that address specific state laws regarding disclaimers. For franchisees in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, or Wisconsin, no statement, questionnaire, or acknowledgment signed by the franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Bft or its representatives. This provision supersedes any other conflicting terms in any document related to the franchise agreement.

For prospective Bft franchisees, this means that the representations made by Bft in the Franchise Disclosure Document are legally binding and cannot be disclaimed by the agreement itself. Additionally, franchisees in the specified states have added protection against inadvertently waiving their rights or disclaiming reliance on Bft's statements due to state franchise laws. This dual protection at the agreement level and through state-specific addenda provides a more secure foundation for the franchise relationship, ensuring transparency and accountability from Bft.