In what capacity do Buildingstars' officers, directors, employees, and agents act when dealing with the franchisee?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 22: CONTRACTS]
- E.
Representative Capacity.
In all of their dealings with FRANCHISEE, the officers, directors, employees and agents of BUILDINGSTARS act only in their representative capacity for BUILDINGSTARS, and not in any individual capacity.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars' 2025 Franchise Disclosure Document, when dealing with a franchisee, the officers, directors, employees, and agents of Buildingstars act only in their representative capacity for Buildingstars, and not in any individual capacity. This means that these individuals are acting on behalf of the company and not in their own personal interest.
This provision clarifies that Buildingstars is the responsible party in the franchise relationship, not the individual representatives of the company. Franchisees cannot hold individual officers, directors, employees, or agents personally liable for actions taken in their official capacity. This is a common practice in franchising, as it protects the individuals working for the franchisor from personal liability for actions taken on behalf of the company.
As a prospective franchisee, it is important to understand this distinction. Any issues or disputes should be directed to Buildingstars as an entity, rather than individual representatives. This clause helps to streamline communication and ensure that the appropriate level of the company addresses any concerns. It also reinforces that the franchise agreement is between the franchisee and Buildingstars, the company, and not with any specific person working for Buildingstars.