For a Brightstar Care franchise, are you required to confirm that you have studied and carefully reviewed the Disclosure Document and Franchise Agreement?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
As you know, you and we are entering into a Franchise Agreement for the operation of a BrightStar Care Agency Franchise. The purpose of this Acknowledgment Addendum is to determine whether any statements or promises were made to you that we have not authorized or that may be untrue, inaccurate or misleading, and to be certain that you understand the limitations on claims that may be made by you by reason of the offer and sale of the franchise and operation of your business. Please review each of the following questions carefully and provide honest responses to each question.
Acknowledgments and Representations.
Source: Item 22 — CONTRACTS (FDD pages 117–118)
What This Means (2025 FDD)
According to the 2025 Brightstar Care Franchise Disclosure Document, franchisees are required to acknowledge that they are entering into a franchise agreement for the operation of a BrightStar Care Agency Franchise. As part of this agreement, Brightstar Care uses an Acknowledgment Addendum to confirm that no unauthorized or untrue statements or promises were made to the franchisee. This addendum also ensures that the franchisee understands the limitations on claims related to the offer, sale of the franchise, and the operation of their business.
Brightstar Care requires prospective franchisees to carefully review a series of questions within the Acknowledgment Addendum and provide honest responses. This process is designed to determine whether any unauthorized representations were made during the franchise sales process. It also serves to confirm the franchisee's understanding of the terms and conditions of the franchise agreement.
However, the FDD states that this Acknowledgment Addendum does not apply if the franchise is subject to state franchise registration/disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin. This suggests that in these states, the legal requirements for franchise disclosure and franchisee protection may already provide sufficient safeguards, making the additional addendum unnecessary.