factual

What is the Casa De Corazon franchisee required to maintain at all times?

Casa_De_Corazon Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (b) Evidence of Relationship Franchisee shall at all times hold itself out to the public as an independent contractor of Franchisor. Franchisee shall, without limitation: (i) clearly identify itself in all dealings with third parties as a franchised, independently owned and operated entity, including on all public records, checks, stationery, enrollment forms, receipts, marketing materials, envelopes, letterhead, business cards, employment applications or other employment documents, invoices and other communications, electronic or otherwise; (ii) display a sign in the reception area of the Franchised Center so as to be clearly visible to the general public indicating that the Franchised Center is independently owned and operated as a franchised business; and (iii) maintain a notice on the employee bulletin board clearly visible to employees at the Franchised Center, identifying the correct name of their employer and clearly stating that neither Franchisor nor

any of its affiliates is the employer and if required by Franchisor, obtaining from each of its employees an acknowledgment acknowledging that their employer is Franchisee and not Franchisor. Neither Franchisee, nor any of its owners, employees or other personnel, are officers, directors, managers, members, shareholders, other owners or employees of Franchisor, its affiliates or the "Casa de Corazon" brand. Franchisee its owners, employees and all others associated with Franchisee shall never hold themselves out otherwise.

Source: Item 22 — CONTRACTS (FDD page 51)

What This Means (2025 FDD)

According to the 2025 Casa De Corazon Franchise Disclosure Document, franchisees must consistently present themselves as independent contractors of Casa De Corazon. This means that in all interactions and documentation, including public records, checks, stationery, enrollment forms, receipts, marketing materials, and electronic communications, the franchisee must clearly identify their business as a franchised, independently owned and operated entity.

To ensure this independent relationship is clear, Casa De Corazon requires franchisees to display a sign in the reception area of their Franchised Center, visible to the public, stating that the center is independently owned and operated as a franchised business. Additionally, a notice must be maintained on the employee bulletin board, clearly visible to employees, identifying the correct name of their employer and stating that neither Casa De Corazon nor its affiliates are the employer. Casa De Corazon may also require franchisees to obtain acknowledgments from each employee confirming their employer is the franchisee, not Casa De Corazon.

These requirements aim to avoid any misrepresentation that the franchisee is an agent of Casa De Corazon or that Casa De Corazon is responsible for the franchisee's actions. By maintaining this clear distinction, Casa De Corazon protects itself from potential liabilities arising from the franchisee's operations, negligence, or willful actions. This is a common practice in franchising to ensure both the franchisor and franchisee maintain distinct legal and operational identities.

Disclaimer: This information is extracted from the 2025 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.