Can a Big Apple Bagels franchisee disclaim reliance on statements made by the franchisor?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
- E. Developer acknowledges that he has conducted an independent investigation of the business contemplated by this Agreement and recognizes that, like any other business, the nature of the business conducted by BAGELS Stores may evolve and change over time, that an investment in a BAGELS Store involves business risks and that the success of the venture is largely dependent upon the business abilities and efforts of Developer.
- F. Franchisor expressly disclaims the making of, and Developer acknowledges that he has not received or relied upon, any warranty or guaranty, express or implied, as to the revenues, profits or success of the business venture contemplated by this Agreement. Developer acknowledges that he has not received or relied on any representations, written or oral, about the franchise by Franchisor, or its officers, directors, employees or agents, that are contrary to the statements made in Franchisor's Franchise Disclosure Document or to the terms herein, and further represents to Fran
Source: Item 23 — RECEIPTS (FDD pages 87–319)
What This Means (2025 FDD)
According to the 2025 Big Apple Bagels Franchise Disclosure Document, a developer (franchisee) acknowledges that they have not relied on any representations, written or oral, about the franchise by Big Apple Bagels, or its representatives, that contradict the statements made in the Franchise Disclosure Document or the terms of the agreement. This means the franchisee is agreeing that they are only relying on the information provided in the FDD and the franchise agreement itself, and not on any other promises or statements made during the sales process.
This disclaimer is a common practice in franchising. It aims to protect Big Apple Bagels from potential lawsuits based on misunderstandings or misinterpretations of information not formally documented. It reinforces the importance of the FDD as the primary source of information for prospective franchisees.
For a prospective Big Apple Bagels franchisee, this acknowledgement underscores the need to carefully review the FDD and franchise agreement. It also suggests that any concerns or discrepancies should be addressed and clarified in writing before signing the agreement. Verbal assurances or promises not included in these documents may not be legally binding.