factual

What action must Big Apple Bagels take if offering a franchise?

Big_Apple_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

isclosure Document or Franchise Agreement. If you are in a registration state which requires an addendum, it will follow this page.

Attached are the state addenda for California, Illinois, Indiana, Maryland, Minnesota, New York, North Dakota, Rhode Island, Virginia, sand Wisconsin.

No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise

EXHIBIT R BAB SYSTEMS, INC. ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT FOR THE STATE OF CALIFORNIA

The BAB Systems, Inc. Franchise Disclosure Document ("FDD") for use in the State of California is modified in accordance with the following:

    1. ALTHOUGH THESE FRANCHISES HAVE BEEN REGISTERED UNDER THE FRANCHISE INVESTMENT LAW OF THE STATE OF CALIFORNIA, SUCH REGISTRATION DOES NOT CONSTITUTE APPROVAL, RECOMMENDATION OR ENDORSEMENT BY THE COMMISSIONER OF THE DEPARTMENT OF FINANCIAL PROTECTION AND INNOVATION NOR A FINDING BY THE COMMISSIONER THAT THE INFORMATION PROVIDED HEREIN IS TRUE, COMPLETE AND NOT MISLEADING.
    1. THE CALIFORNIA FRANCHISE INVESTMENT LAW REQUIRES THAT A COPY OF ALL PROPOSED AGREEMENTS RELATING TO THE SALE OF THE FRANCHISE BE DELIVERED TOGETHER WITH THE FRANCHISE DISCLOSURE DOCUMENT.
    1. OUR WEBSITE HAS NOT BEEN REVIEWED OR APPROVED BY THE CALIFORNIA DEPARTMENT OF FINANCIAL PROTECTION AND INNOVATION. ANY COMPLAINTS CONCERNING THE CONTENT OF THIS WEBSITE MAY BE DIRECTED TO THE CALIFORNIA DEPARTMENT OF FINANCIAL PROTECTION AND INNOVATION at www.dfpi.ca.gov.

Source: Item 23 — RECEIPTS (FDD pages 87–319)

What This Means (2025 FDD)

According to the 2025 Big Apple Bagels Franchise Disclosure Document, if offering a franchise in California, Big Apple Bagels must register the franchise under the Franchise Investment Law of the state. However, the FDD stipulates that this registration does not imply approval, recommendation, or endorsement by the Commissioner of the Department of Financial Protection and Innovation, nor does it guarantee the truthfulness, completeness, or lack of misleading information in the provided documents.

Furthermore, in California, Big Apple Bagels is required to deliver a copy of all proposed agreements related to the sale of the franchise along with the Franchise Disclosure Document. The FDD also clarifies that the Big Apple Bagels website has not been reviewed or approved by the California Department of Financial Protection and Innovation, and any complaints about the website's content can be directed to the department.

For prospective franchisees in Illinois, the 2025 Big Apple Bagels FDD includes an addendum stating that Illinois law governs the BAGELS Franchise Agreements. Any provision in a BAGELS Franchise Agreement that designates jurisdiction and venue in a forum outside of the State of Illinois is void, although the agreement may provide for arbitration to take place outside of Illinois. The addendum also states that any condition, stipulation, or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.