factual

What representation does the Burros Fries franchisee make regarding pending litigation or tax claims?

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.

Source: Item 22 — CONTRACTS (FDD page 53)

What This Means (2024 FDD)

Based on the 2024 Franchise Disclosure Document, the franchisee for Burros Fries is responsible for researching and adhering to all relevant federal, state, and local laws and regulations pertaining to their business. This encompasses securing and maintaining all necessary licenses, permits, and certificates for operation, and ensuring full compliance with all applicable laws, ordinances, and regulations. These regulations include, but are not limited to, those concerning fictitious name registrations, sales tax permits, fire clearances, safety, advertising, occupational hazards, indoor air quality, health, non-discrimination in hiring and accessibility, worker's compensation, and unemployment insurance.

Furthermore, the Burros Fries franchisee must comply with consumer protection laws and regulations related to food preparation, handling, and storage, as well as "Truth in Menu" guidelines concerning menu item names, product content, labeling, and nutritional claims. Burros Fries does not provide any assurances regarding the specific inspections, licenses, permits, or authorizations that will be required for the franchisee's business in their particular area. It is the franchisee's sole responsibility to identify and obtain all necessary licenses, permits, certifications, and authorizations for operation.

Additionally, the franchisee agrees to uphold high standards of honesty, integrity, fair dealing, and ethical conduct in all business activities. The franchisee is also obligated to forward copies of any notices, inspection reports, or other communications from governmental entities indicating a failure to meet or maintain governmental standards, or less than substantial compliance with any applicable law, rule, or regulation, to Burros Fries within five days of receipt. The franchisee agrees to indemnify Burros Fries against any claims arising from the franchisee's failure to perform these obligations.

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.