What rights does Bhc have if a Prospective Franchisee makes a false statement on the Acknowledgment?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
Prospective Franchisee acknowledges that any false statement, in whole or in part, on this Acknowledgment shall be considered sufficient cause to deny any further consideration or cause revocation and termination of any agreement signed at any time with BHC, and to the extent permissible by such agreement or law, BHC shall have the right to exercise any and all remedies available to it at law or in equity, including specific performance and damages (including liquidated).
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, if a prospective franchisee makes any false statement on the Acknowledgment form, Bhc can deny further consideration of the franchise application. Additionally, Bhc can revoke and terminate any agreement signed with the prospective franchisee at any time.
Bhc also has the right to exercise any and all remedies available to it at law or in equity. These remedies include seeking specific performance, which would compel the franchisee to fulfill their obligations, and damages, including liquidated damages, which are damages whose amount the parties designate during the formation of a contract for the injured party to collect as compensation upon a specific breach.
This clause emphasizes the importance of honesty and accuracy when completing the Acknowledgment form during the franchise application process. Prospective franchisees should carefully review all information provided to Bhc to ensure its truthfulness, as any misrepresentation could have significant legal and financial repercussions.