What is the purpose of Exhibit A in the Buns On Fire Franchise Disclosure Document?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT A STATE SPECIFIC ADDENDUM
The following are additional disclosures for the Franchise Disclosure Document of Buns on Fire required by various state franchise laws. Each provision of these additional disclosures will not apply unless, with respect to that provision, the jurisdictional requirements of the applicable state franchise registration and disclosure law are met independently, without reference to these additional disclosures.
ADDENDUM TO DISCLOSURE DOCUMENT FOR THE STATE OF CALIFORNIA
In recognition of the requirements of the California Franchise Investment Law, Cal. Corp. Code §§ 31000-31516, and the California Franchise Relations Act, Cal. Bus. & Prof. Code §§ 20000-20043, the Franchise Disclosure Document for Buns on Fire, in connection with the offer and sale of franchises for use in the State of California shall be amended to include the following:
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
According to the 2025 Buns On Fire Franchise Disclosure Document, Exhibit A contains state-specific addenda. These addenda provide additional disclosures required by various state franchise laws. These additional disclosures apply only if the jurisdictional requirements of the applicable state franchise registration and disclosure law are met independently, without reference to these additional disclosures.
For example, the FDD includes an addendum to the disclosure document for the state of California, recognizing the requirements of the California Franchise Investment Law and the California Franchise Relations Act. Similarly, there are addenda for Hawaii, Illinois, Indiana, Minnesota, Rhode Island, and Virginia, each tailored to comply with the specific franchise laws of those states.
These state-specific addenda can modify certain provisions of the standard Buns On Fire franchise agreement to align with local regulations. For instance, the California addendum specifies that franchisees in California should not complete certain questions in the questionnaire annexed to the Franchise Agreement. The Hawaii addendum defers payment of the initial franchise fee until pre-opening obligations are met and the franchisee commences operation. These addenda also include stipulations that protect franchisees' rights under state laws, such as preventing waivers of claims related to fraud or reliance on franchisor statements.
Prospective Buns On Fire franchisees should carefully review Exhibit A to understand how the franchise agreement and disclosure document are modified by the laws of their specific state. This ensures they are aware of any additional rights, obligations, or protections afforded to them under state franchise law.