What laws and regulations must a Bft franchisee comply with regarding anti-terrorist activities?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee hereby certifies and represents that Franchisee, and any of its affiliates, any of its partners, members, shareholders or other equity owners, and their respective employees, officers, directors representatives or agents, are not acting, directly or indirectly, for or on behalf of any person, group, entity or nation named by any Executive Order or the United States Treasury Department as a terrorist, terrorist organization or "Designated Terrorist Organization," "Specially Designated National and Blocked Person," or other banned, prohibited, or blocked person, group, entity, nation or transaction pursuant to any law, order, rule or regulation that is enforced or administered by the Office of Foreign Assets Control.
Franchisee agrees to comply with and assist Franchisor in Franchisor's compliance efforts, as applicable, with any and all laws, regulations, Executive Orders or otherwise relating to anti-terrorist activities or conduct of transactions involving certain foreign parties, including the U.S.
Patriot Act, Executive Order 13224, the U.S.
Foreign Corrupt Practices Act, the Bank Secrecy Act, the International Money Laundering Abatement
and Anti-terrorism Financing Act, the Export Administration Act, the Arms Export Control Act, the International Economic Emergency Powers Act, and related U.S. Treasury or other regulations.
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, a franchisee must comply with several laws and regulations related to anti-terrorist activities. The franchisee must certify that neither they, their affiliates, nor anyone associated with them is acting on behalf of any individual or group designated as a terrorist or blocked person by an Executive Order or the U.S. Treasury Department. This certification ensures that Bft franchisees are not directly or indirectly supporting terrorist organizations.
Furthermore, the Bft franchisee is obligated to comply with all laws, regulations, and Executive Orders pertaining to anti-terrorist activities. This includes assisting Bft in its compliance efforts. Specific laws mentioned include the U.S. Patriot Act, Executive Order 13224, the U.S. Foreign Corrupt Practices Act, the Bank Secrecy Act, the International Money Laundering Abatement and Anti-terrorism Financing Act, the Export Administration Act, the Arms Export Control Act, the International Economic Emergency Powers Act, and related U.S. Treasury regulations.
This requirement places a significant responsibility on the Bft franchisee to stay informed about and adhere to these complex and evolving legal requirements. Failure to comply could result in severe penalties, including legal repercussions and damage to the Bft brand's reputation. Prospective franchisees should consult with legal counsel to fully understand their obligations under these laws.