What does the term 'you' refer to when the Bumper Man franchisee is a general partnership?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchisor is Bumper Man, Inc. For ease of reference, Bumper Man, Inc. will be referred to as "we" or "us" in this Disclosure Document. The term "you" means the person buying the franchise, the franchisee. If the franchisee is a general partnership (or if we allow you to assign your rights as franchisee to a general partnership), the term "you" refers to all partners. If the franchisee is a corporation, limited liability company or other business entity (or if we allow you to assign your rights as franchisee to a corporation, limited liability company or other business entity), the term "you" refers to the franchisee and the term "principals" refers to any individual or entity with a controlling ownership in the franchisee (including shareholders of a corporation, members of a limited liability company, general and limited partners of a limited partnership, etc.).
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 8–11)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, the term 'you' has a specific meaning when the franchisee is structured as a general partnership. In this context, 'you' refers to all partners within the general partnership. This definition extends to situations where Bumper Man allows a franchisee to assign their rights to a general partnership.
This is important for prospective franchisees to understand because it clarifies who is bound by the terms of the franchise agreement. Each partner in a general partnership assumes responsibility for upholding the franchise agreement with Bumper Man. This means that all partners share in the liabilities and obligations of the franchise.
Franchisees should carefully consider the implications of forming a general partnership, as each partner's actions can affect the entire partnership. It is advisable to consult with legal and financial professionals to fully understand the responsibilities and potential risks associated with this business structure before entering into a franchise agreement with Bumper Man.