On what date should the parties execute, seal, and deliver the Buona Area Development Agreement?

According to Buona's 2025 Franchise Disclosure Document, the Area Development Agreement is executed, sealed, and delivered on the date set forth below each signature. The agreement includes signature lines for both the franchisor, Chicago's Original Italian Beef Franchising LLC, and the developer, with a space for the date to be entered. This indicates that the specific date of execution is determined at the time of signing by both parties.

Prospective Buona developers should note that all owners of the developing entity must also execute a Guaranty and Assumption of Obligations (Exhibit C) concurrently with the execution of the Area Development Agreement. This means that all owners are personally guaranteeing the obligations of the developer under the agreement.

The FDD also states that the agreement may be signed with full legal force and effect using electronic signatures and records, and that delivery of the agreement by facsimile, e-mail, or other functionally equivalent electronic means of transmission constitutes valid and effective delivery. This provides flexibility in the execution process, allowing for remote signing and delivery of the agreement.

It is important for prospective developers to carefully review all exhibits to the Area Development Agreement, including Exhibit B (Development Schedule) and Exhibit A (Description of Development Area), as these outline the specific obligations and rights of the developer. The execution date marks the beginning of the developer's commitments under the agreement, including the obligation to develop and open a minimum number of Buona restaurants according to the agreed-upon schedule.