Is Casiola Franchise LLC a party to the Casiola Franchise Agreement?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
Amendments to the Casiola Franchise Agreement:
In recognition of the requirements of the Maryland Franchise Registration and Disclosure Law, the parties to the attached Casiola Franchise LLC Franchise Agreement (the "Franchise Agreement"), as follows:
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- The franchise agreement provides that disputes are resolved through arbitration. A Maryland franchise regulation states that it is an unfair or deceptive practice to require a franchisee to waive its right to file a lawsuit in Maryland claiming a violation of the Maryland Franchise Law. In light of the Federal Arbitration Act, there is some dispute as to whether this forum selection requirement is legally enforceable.
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- The general release required as a condition of renewal, sale, and/or assignment/transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
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- Article 18.G. of the Franchise Agreement, under the heading "Choice of Law, Non-Binding Mediation, Binding Arbitration, and Consent to Jurisdiction," shall be amended by the addition of the following statement added to Article 18.G. of the Franchise Agreement:
- A franchisee may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law.
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- Article 18.I. of the Franchise Agreement, under the heading "Limitations of Claims," shall be amended by the addition of the following statement added to Article 18.I. of the Franchise Agreement:
Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the franchise.
A general release required as a condition of renewal, sale and/or assignment or transfer of a Franchise Agreement shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to the 2024 Casiola Franchise Disclosure Document, Casiola Franchise LLC is indeed a party to the Casiola Franchise Agreement. This is explicitly stated in several exhibits and amendments included in the FDD.
Specifically, the "Assignment of Telephone Numbers and Digital Media Accounts" exhibit indicates that the agreement is between the franchisee (Assignor) and Casiola Franchise LLC (Assignee), identifying Casiola Franchise LLC as the franchisor. Furthermore, the signature pages for both the Operating Market Acknowledgment and the Franchise Fee Acknowledgment include lines for Casiola Franchise LLC to sign as the Franchisor.
Amendments for specific states like Maryland, Minnesota, and New York also refer to "the attached Casiola Franchise LLC Franchise Agreement," confirming that Casiola Franchise LLC is a direct party to the agreement. These amendments modify specific clauses within the agreement to comply with state-specific franchise laws, further solidifying Casiola Franchise LLC's role as a party to the agreement.
For a prospective franchisee, this means that Casiola Franchise LLC is the entity with whom they are directly contracting when they sign the Franchise Agreement. Any obligations, rights, and responsibilities outlined in the agreement are legally binding between the franchisee and Casiola Franchise LLC.