What compliance training is required for persons with management responsibility relating to the sale or operation of Bft franchises?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
mely file certain exemption notices. Finally, the Consent Order also requires that persons (a) with management responsibility relating to the sale or operation of the Brand Franchisors, (b) assisting the Brand Franchisors in preparing franchise materials or selling franchises and (c) certifying the accuracy of Franchise Disclosure Documents filed with the Commissioner by the Brand Fran
Source: Item 3 — LITIGATION (FDD pages 14–18)
What This Means (2025 FDD)
According to the 2025 Bft Franchise Disclosure Document, a Consent Order requires that certain individuals complete compliance training. This order stems from a resolution between the Commissioner of California's Department of Financial Protection and Innovation (DFPI) and Bft, along with related entities, to address compliance with the California Franchise Investment Law (CFIL). The Consent Order addresses findings that certain registration applications filed by Bft contained material misrepresentations and omissions.
The compliance training mandate applies to individuals with management responsibility relating to the sale or operation of Bft franchises. It also extends to those assisting Bft in preparing franchise materials or selling franchises, and those certifying the accuracy of Franchise Disclosure Documents filed with the Commissioner.
As a prospective franchisee, it's important to understand the specifics of this required compliance training. You should ask Bft for details regarding the content, duration, and frequency of the training, as well as who specifically is required to complete it. Understanding these requirements will help you ensure full compliance and avoid potential legal issues related to franchise sales and operations in California.