If a Bft franchisee is a resident of Rhode Island, where will their studio be operated?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS RIDER (this "Rider") is made and entered into by and between | BFT FRANCHISE SPV, |
|---|---|
| LLC, a Delaware limited liability company with its principal business address at 17877 Von Karman Ave., | |
| Suite 100 Irvine, CA 92614 | |
| ("Franchisor"), and, | |
| whose principal business address is | ("Franchisee"). |
| 1. | are parties to that certain Franchise Agreement dated |
| Background. Franchisor | |
| and Franchisee | |
| , 20 (the "Franchise Agreement") that has been signed concurrently | |
| with the signing of this Rider. This Rider supersedes any inconsistent or conflicting provisions of the | |
| Franchise Agreement. Terms not otherwise defined in this Rider have the meanings as defined in the | |
| Franchise Agreement. | |
| This Rider is annexed to and forms part of the Franchise Agreement. This Rider is | |
| being signed because (a) any of the offering or sales activity relating to the Franchise Agreement occurred | |
| in Rhode Island, or (b) Franchisee is a resident of the State of Rhode Island and | the Studio that Franchisee |
| develops under its Franchise Agreement is or will be operated in the State of Rhode Island. | |
| 2. Governing Law. The following is added at the end of Section 16.1 Franchise Agreement: | (Governing Law) of the |
| Section 19-28.1-14 of the Rhode | |
| Island Franchise Investment Act provides that "To the | |
| extent required by applicable law, Rhode Island law will apply to claims arising under the | |
| Rhode Island Franchise | |
| Investment Act." |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–66)
What This Means (2025 FDD)
According to the 2025 Bft Franchise Disclosure Document, if a franchisee is a resident of Rhode Island, the Bft studio that they develop under the Franchise Agreement is or will be operated in the State of Rhode Island. This condition is specifically addressed in a rider to the franchise agreement that is signed when offering or sales activity relating to the Franchise Agreement occurred in Rhode Island, or the franchisee is a resident of Rhode Island.
This means that Bft requires that if you are a resident of Rhode Island, the physical location of your Bft studio must also be within the state of Rhode Island. This is to ensure compliance with Rhode Island franchise laws, as indicated by the inclusion of Rhode Island-specific addenda and legal references within the franchise agreement.
This requirement protects both Bft and the franchisee by ensuring that the business operates under the legal jurisdiction of Rhode Island, especially concerning the Rhode Island Franchise Investment Act. Franchise agreements often include state-specific riders to address local regulations and legal requirements, and Bft is following this standard practice.