factual

Does the Brightstar Care FDD allow a franchisee to disclaim reliance on any statement by signing a questionnaire or acknowledgement in connection with commencing the franchise relationship?

Brightstar_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchise Questionnaires and Acknowledgements. 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

Source: Item 23 — RECEIPTS (FDD pages 118–387)

What This Means (2025 FDD)

According to Brightstar Care's 2025 Franchise Disclosure Document, a franchisee cannot disclaim reliance on any statement by signing a questionnaire or acknowledgement when starting the franchise relationship. This means that any claims made by Brightstar Care during the franchise sales process can be relied upon by the franchisee, and the franchisee cannot waive their right to hold Brightstar Care accountable for those statements.

This provision protects prospective Brightstar Care franchisees from being misled during the sales process. It ensures that franchisees can pursue legal remedies if they believe they were induced into signing the franchise agreement based on false or misleading statements. This is particularly important in franchising, where franchisees often rely on the franchisor's expertise and representations about the potential success of the business.

This clause also reinforces the importance of the Franchise Disclosure Document itself. The FDD is designed to provide potential franchisees with all the material information they need to make an informed decision. By preventing disclaimers of reliance, Brightstar Care is legally bound to the information provided and cannot later argue that the franchisee should not have relied on those statements. This promotes transparency and fairness in the franchising process.

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.