What should a prospective Carvel franchisee do if the Carvel Disclosure Document contains a false or misleading statement?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
If Carvel Franchisor SPV LLC does not deliver this Disclosure Document on time or if it contains a false or misleading statement, or a material omission, a violation of federal law and state law may have occurred and should be reported to the Federal Trade Commission, Washington, D.C. 20580 and the applicable state agency listed in Exhibit F.
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, if the document contains a false or misleading statement, a violation of federal and state law may have occurred. In such a case, a prospective franchisee should report this to the Federal Trade Commission (FTC) in Washington, D.C. 20580, and to the applicable state agency listed in Exhibit F of the FDD.
This instruction is included in the Item 23 Receipt, which franchisees must acknowledge receiving. This receipt confirms that the franchisee has been given the FDD, which summarizes the franchise agreement and other information. The FDD is intended to be written in plain language to ensure it is easily understood.
It is important for prospective Carvel franchisees to carefully read the FDD and all related agreements. If any discrepancies, false statements, or misleading information are found, reporting it to the FTC and the relevant state agency is crucial to protect their rights and ensure compliance with franchise laws.