What is the receipt status for Bonchon franchises in North Dakota?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
This requirement is deleted from all Franchise Agreements and Area Development Agreements used in the State of North Dakota.
- No statement, questionnaire, or acknowledgement 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.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the standard requirement for franchisees to sign a statement, questionnaire, or acknowledgement at the start of their franchise relationship is removed for all Franchise Agreements and Area Development Agreements specifically used in North Dakota. This means that franchisees in North Dakota are not required to sign any document that could be interpreted as waiving claims under state franchise law, including claims related to fraud, or disclaiming reliance on statements made by Bonchon or its representatives.
This provision protects Bonchon franchisees in North Dakota by ensuring they retain their full legal rights and remedies under applicable state franchise laws. It prevents franchisees from inadvertently waiving their rights or being bound by statements that disclaim reliance on information provided by Bonchon during the franchise sales process. This is particularly important in the context of potential disputes or claims that may arise later in the franchise relationship.
This addendum ensures that the franchise agreement complies with North Dakota law, which may have specific requirements regarding waivers and disclaimers in franchise agreements. Prospective franchisees in North Dakota should take note of this provision, as it provides an additional layer of protection compared to franchisees in other states where such waivers might be enforced. This could be a significant benefit for those considering opening a Bonchon franchise in North Dakota.