To whom should a potential violation of federal and state law regarding the Buildingstars Franchise Disclosure Document be reported?

According to Buildingstars's 2025 Franchise Disclosure Document, potential violations of federal and state law related to the Franchise Disclosure Document should be reported to two entities. These are the Federal Trade Commission (FTC) in Washington, D.C., and the appropriate state agency identified in Exhibit I of the FDD. Exhibit I lists state agencies and agents for service of process. For example, the Illinois Franchise Division Office of the Attorney General, the Indiana Secretary of State Securities Division, and the New York State Department of Law Investor Protection Bureau are listed.

This instruction is included in the receipt section of the FDD, which Buildingstars requires prospective franchisees to sign and return. This receipt confirms that the franchisee received the FDD and acknowledges its importance in understanding the franchise agreement. The FDD emphasizes the importance of reading the document carefully and understanding all agreements before signing any binding agreement or making any payment.

By directing potential complaints to both the FTC and the relevant state agency, Buildingstars ensures that violations are addressed at both the federal and state levels. This dual reporting mechanism provides a comprehensive approach to regulatory compliance and consumer protection. Prospective franchisees should carefully review Exhibit I to identify the specific agency in their state to contact in case of a potential violation.