Can a Brueggers Bagels franchisee make any contract on behalf of the franchisor?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
It is understood and agreed that nothing in this Agreement authorizes Franchisee to make any contract, agreement, warranty, or representation on Franchisor's behalf, or to incur any debt or other obligation in Franchisor's name, and that Franchisor shall in no event assume liability for or be deemed liable hereunder as a result of any such action or by reason of any act or omission of Franchisee in Franchisee's conduct in the operation of the Bakery or any claim or judgment arising there from against Franchisor.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, a franchisee is not authorized to enter into any contracts, agreements, warranties, or representations on behalf of the franchisor. The agreement explicitly states that the franchisee cannot incur any debt or obligation in Brueggers Bagels's name.
This provision protects Brueggers Bagels from potential liabilities arising from the franchisee's actions. It ensures that the franchisee operates as an independent entity and does not have the authority to bind the franchisor to any obligations. This is a common arrangement in franchising, as it helps maintain a clear separation of responsibilities and liabilities between the franchisor and its franchisees.
Therefore, a prospective Brueggers Bagels franchisee should understand that they are solely responsible for their bakery's operations and cannot act as an agent of the franchisor in any contractual matters. Any agreements or obligations entered into by the franchisee are their sole responsibility, and Brueggers Bagels will not be held liable for such actions.