What is the Bumper Man franchisee required to do before making any public communication or press release regarding the franchise agreement or the operation of their business?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
(b) Compliance with Applicable Law; Operating Permits. Franchisee will at all times operate the Bumper Business in full compliance with Applicable Law. Franchisee must notify Franchisor in writing immediately upon the commencement of any legal action, suit, or proceeding, any administrative action, or the issuance of an order of any court, agency, or other governmental instrumentality, which may adversely affect the operation of the Bumper Business or Franchisee's financial condition; or the delivery of any notice of violation or alleged violation including arrest of Franchisee (if Franchisee is an individual) or Franchisee's Operating Principal (if Franchisee is an Entity) of any Applicable Law, including those relating to health or safety. Franchisee will refrain from any business or advertising practice which may be injurious to Franchisor's business, to the business of other Bumper Man businesses, or to the goodwill associated with the Marks, provided, however, that nothing in this Section 9(b) or elsewhere in this Agreement restricts or is intended to restrict Franchisee's communications with any state or federal law regulator or enforcement authority about potential violations of law.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, a franchisee is required to notify Bumper Man in writing immediately upon the commencement of any legal action, suit, or proceeding, any administrative action, or the issuance of an order of any court, agency, or other governmental instrumentality, which may adversely affect the operation of the Bumper Business or Franchisee's financial condition; or the delivery of any notice of violation or alleged violation including arrest of Franchisee (if Franchisee is an individual) or Franchisee's Operating Principal (if Franchisee is an Entity) of any Applicable Law, including those relating to health or safety.
Furthermore, the franchisee must refrain from any business or advertising practice which may be injurious to Bumper Man's business, to the business of other Bumper Man businesses, or to the goodwill associated with the Marks. However, the agreement does not restrict or is intended to restrict Franchisee's communications with any state or federal law regulator or enforcement authority about potential violations of law.
In practical terms, this means a Bumper Man franchisee needs to be very careful about what they communicate publicly, especially if it could negatively impact the brand or other franchisees. While franchisees have the right to communicate with regulators about potential legal violations, they must otherwise avoid business or advertising practices that could harm Bumper Man's reputation or business interests. Failing to comply with these communication standards could potentially lead to breaches of the franchise agreement.