Can a Body20 franchisee disclaim reliance on statements made by the franchisor or its representatives through franchise questionnaires and acknowledgements?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire, or acknowledgement signed or agreed to by you 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 us, any franchise seller, or any other person acting on behalf of us. This provision supersedes any other term of any document executed in connection with the franchise.
CALIFORNIA
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- 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 DISCLOSURE DOCUMENT.
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- SECTION 31125 OF THE FRANCHISE INVESTMENT LAW REQUIRES US TO GIVE YOU A DISCLOSURE DOCUMENT APPROVED BY THE COMMISSIONER OF BUSINESS OVERSIGHT BEFORE WE ASK YOU TO CONSIDER A MATERIAL MODIFICATION OF YOUR DEVELOPMENT AGREEMENT OR FRANCHISE AGREEMENT.
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- OUR WEBSITE, www.BODY20.com, HAS NOT BEEN REVIEWED OR APPROVED BY THE CALIFORNIA DEPARTMENT OF BUSINESS OVERSIGHT. ANY COMPLAINTS CONCERNING THE CONTENT OF THE WEBSITE MAY BE DIRECTED TO THE CALIFORNIA DEPARTMENT OF BUSINESS OVERSIGHT AT www.dbo.ca.gov.
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- The following is added at the end of Item 3:
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, whether a franchisee can disclaim reliance on statements made by Body20 or its representatives through franchise questionnaires and acknowledgements depends on the state in which the franchise is located.
For franchisees and studios subject to franchise disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin, any statement, questionnaire, or acknowledgement signed in connection with the franchise commencement cannot waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Body20, its franchise sellers, or representatives. This provision overrides any conflicting terms in other documents.
For franchisees outside of these specific states, the FDD includes a Compliance Questionnaire to be completed before signing the Franchise Agreement. However, this questionnaire explicitly does not apply to franchisees in the aforementioned states. This suggests that franchisees in states without the specific protections may be subject to disclaimers of reliance, though the FDD does not provide explicit details on this point. Prospective franchisees should carefully review all documents and seek legal counsel to understand their rights and obligations in their specific state.