In the Burger King Franchise Agreement (Individual/Owner-Operator) Addendum, what is the intended effect of the parties' electronic signatures?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
By entering into this Franchise Addendum, Franchisee expressly consents to transact business with BKC electronically and that, consistent with the Uniform Electronic Transactions Act, and all other applicable state and federal laws, this Franchise Addendum may be executed by electronic signatures. The parties to this Franchise Addendum agree that the parties' electronic signatures are intended to authenticate this writing and to have the same force and effect as the use of manual signatures and an electronically signed version of this Franchise Addendum shall constitute an original for all purposes.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 109–124)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, the electronic signatures in the Franchise Agreement Addendum (specifically for Individual/Owner-Operator agreements) are intended to have the same legal validity as handwritten signatures. By agreeing to the addendum, the franchisee consents to conduct business with Burger King Company (BKC) electronically. This consent aligns with the Uniform Electronic Transactions Act and other relevant state and federal laws.
For a prospective Burger King franchisee, this means that signing the Franchise Agreement Addendum electronically is legally binding. The electronic signature authenticates the document, and the electronically signed version is considered an original copy. This provision streamlines the signing process, allowing for quicker and more efficient execution of the agreement.
This practice is becoming increasingly common in the franchise industry, as it simplifies administrative tasks and reduces the need for physical paperwork. Franchisees should ensure they understand the terms of the agreement before signing electronically, just as they would with a traditional signature. Burger King's explicit consent provision reinforces the enforceability of these agreements in a digital format.