factual

Can Buildingstars negotiate with a prospective franchisee about items covered in the Franchise Disclosure Document in New York?

Buildingstars Franchise · 2025 FDD

Answer from 2025 FDD Document

rk General Business Law, Article 33, §§680 - 695 applies, the terms of this Addendum apply.

    1. The following information is added to the cover page of the Franchise Disclosure Document. INFORMATION COMPARING FRANCHISORS IS AVAILABLE. CALL THE STATE ADMINISTRATORS LISTED IN EXHIBIT I OR YOUR PUBLIC LIBRARY FOR

Source: Item 23 — RECEIPT (FDD pages 43–217)

What This Means (2025 FDD)

According to Buildingstars's 2025 Franchise Disclosure Document, specifically the New York Addendum, Buildingstars may negotiate terms with prospective franchisees regarding items covered in the Franchise Disclosure Document. However, Buildingstars is prohibited from using this negotiation to persuade a prospective franchisee to accept terms less favorable than those already outlined in the Franchise Disclosure Document. This provision is in place to protect franchisees in New York under the New York General Business Law, Article 33, §§680 - 695.

This means that while there is room for discussion and potential adjustment of terms, Buildingstars cannot pressure a franchisee into accepting conditions that are worse than what is initially presented in the FDD. This ensures a baseline level of protection for the franchisee, preventing them from being strong-armed into unfavorable agreements during the negotiation process. The New York Addendum takes precedence over any conflicting terms in the standard Franchise Agreement, further emphasizing the state's commitment to franchisee rights.

For a prospective Buildingstars franchisee in New York, this is a beneficial provision. It allows for open dialogue and potential customization of the franchise agreement to suit individual circumstances, but it also provides a safeguard against exploitative negotiation tactics. Franchisees should still carefully review all terms and seek legal counsel, but this clause offers an additional layer of security during the franchise purchasing 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.