factual

Does the Burros Fries franchise agreement require compliance with consumer protection laws?

Burros_Fries Franchise · 2024 FDD

Answer from 2024 FDD Document

nchisee agreesto indemnify us under Section 18 of this Agreement which includes any claims arising out of Franchisee's failure to perform its obligations as described above.

It is Franchisee's sole responsibility and absolute obligation to research all applicable federal, state and local laws and regulations governing the operation of a Burros & Fries Business. Franchisee must secure and maintain in force all required licenses, permits and certificates relating to the operation of its Business and must at all times operate it in full compliance with all applicable laws, ordinances and regulations (including without limitation, regulations relating to fictitious name registrations, sales tax permits, fire clearances, safety, truth in advertising, occupational hazards, indoor air quality, health, laws relating to non-discrimination in hiring and accessibility, worker's compensation and unemployment insurance). In addition, Franchisee must comply with consumer protection laws and regulations concerning food preparation, handling and storage, "Truth in Menu" concerning menu item names, product content, labeling and nutritional claims. We make no representations or assurances as to what inspections, licenses, permits, authorizations or otherwise will be required for Franchisee in the Franchisee's area in connection with its Business. It is Franchisee's sole responsibility to identify and obtain all licenses,

permits, certifications and authorizations necessary for operation. Franchisee agrees to maintain high standards of honesty, integrity, fair dealing and ethical conduct in all business activities.

Franchisee shall agree to comply and/or assist us in our compliance efforts, as applicable, with any and all laws, regulations, Executive Orders or otherwise relating to antiterrorist activities, including without limitation the U.S. Patriot Act, Executive Order 13224 and related U.S. Treasury and/or other regulations. In connection with such compliance efforts, Franchisee agrees not to enter into any prohibited transactions and to properly perform any currency reporting and other activities relating to the Franchise Business as may be required by law. Franchisee is solely responsible for ascertaining what actions must be taken by Franchisee to comply with all such laws, orders and/or regulations, and specifically acknowledge and agree that Franchisee's indemnification responsibilities as provided in Section 18 pertain to Franchisee's obligations hereunder. Franchisee agrees to sign and deliver to us, along with a signed copy of this Agreement, the attached Schedule 3 "Executive Order 13224 and Related Certifications."

Your Business is designed, constructed and is to be operated in compliance with all local, state and federal laws, including (without limitation) the American with Disabilities Act ("ADA"). Even though we may have designed the Businessspace, Franchisee is responsible for compliance with all applicable federal, State and local laws and regulations concerning access by people with disabilities. Any required modifications to the restaurant must first be approved by us and are Franchisee's sole responsibility and expense.

D. Maintain Confidentiality of Proprietary Information

Neither Franchisee nor any of its Owners if you are an Entity, officers, directors, agents, employees or independent contractors, except as required in the performance of the duties contemplated by this Agreement, may disclose or use at any time, whether during the term of this Agreement or thereafter, any confidential and proprietary information disclosed to or known by Franchisee or any such person as a result of this Agreement. Such information, includes, but shall not be limited to our confidential matters and trade secrets such as our: strategies for site acquisition, build-out, design and décor specifications; distinctive Products, Services, proprietary recipes, sauces and home-made ice cream;

Source: Item 22 — CONTRACTS (FDD page 53)

What This Means (2024 FDD)

According to Burros Fries's 2024 Franchise Disclosure Document, franchisees must comply with consumer protection laws and regulations. Specifically, Burros Fries franchisees must adhere to consumer protection laws and regulations concerning food preparation, handling, and storage, as well as "Truth in Menu" guidelines related to menu item names, product content, labeling, and nutritional claims.

Furthermore, the franchisee is responsible for researching all applicable federal, state, and local laws governing the operation of their Burros Fries business. This includes securing and maintaining all required licenses, permits, and certificates and operating the business in full compliance with all applicable laws, ordinances, and regulations. These regulations include those related to fictitious name registrations, sales tax permits, fire clearances, safety, truth in advertising, occupational hazards, indoor air quality, health, non-discrimination in hiring and accessibility, worker's compensation, and unemployment insurance.

In addition to general compliance, Burros Fries franchisees must keep informed of and comply with all laws, regulations, and rulings issued by the U.S. Food and Drug Administration (FDA) and any other applicable state and local health agency. Franchisees must also adhere to food testing laws and regulations, both current and future. Franchisees must also ensure that they, their owners, managers, and employees obtain and maintain a food handlers certification, regardless of whether it is required by their state. Maintaining an "A" rating or above for all health department inspections is also mandatory, and failure to do so may result in termination of the franchise agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.