Are Casiola franchisees required to ensure their Owners comply with Anti-Terrorism Laws?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
hall refrain from any business practice, advertising practice, or personal conduct that may be injurious to Franchisor, the System, Casiola Businesses, and/or the Licensed Marks. Franchisor, in Franchisor's sole discretion, shall possess, among other things, the unilateral right to reject any and all advertising relating to the Franchised Business, Franchisor, the System, Casiola Businesses and/or using the Licensed Marks.
- (6) Franchisee shall comply with, and cause Franchisee's Owners to comply with and/or to assist Franchisor, to the fullest extent possible, in Franchisor's efforts to comply with Anti-Terrorism Laws (as defined below). In connection with such compliance, Franchisee and each Owner certify, represent, and warrant that Franchisee's or any Owner's property or interests is not subject to being "blocked" under any of the Anti-Terrorism Laws, and Franchisee and each Owner are not otherwise in violation of any of the Anti-Terrorism Laws. Franchisee further certifies that Franchisee and each Owner are not listed on the Annex to Executive Order 13244 (the Annex is available at http://www.treasury.gov) and will not become so listed, hire any person so listed, or have dealings with any person so listed. Franchisee agrees to immediately notify Franchisor if Franchisee or any Owner becomes so listed. "Anti-Terrorism Laws" refers to and means Executive Order 13224 issued by the President of the United States, the USA PATRIOT Act, and all other present and future federal, state and local laws, ordinances, regulations, policies, lists and any other requirements of any governmental authority addressing, or in any way relating to, terrorist acts and acts of war. If Franchisee, an Owner, or Franchisee's employees violate any of the Anti-Terrorism Laws and/or become listed on the Annex to
Executive Order 13244, then Franchisor may terminate this Agreement immediately without prior notice to Franchisee.
In connection with Franchisee's compliance with the terms of this Article 7.H., if Franchisee discovers, learns of, and/or becomes aware of any conflict and/or discrepancy between Franchisee's obligations under this Article 7.H. with Franchisor's standards and/or specifications as contained in this Agreement, in the Operations Manual, and/or as otherwise designated by Franchisor from time to time, Franchisee shall immediately notify Franchisor in writing of such discrepancy.
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, franchisees must ensure that they and their Owners comply with Anti-Terrorism Laws. This obligation extends to assisting Casiola in its own compliance efforts. Franchisees and Owners must certify that their property and interests are not subject to being "blocked" under any Anti-Terrorism Laws and that they are not in violation of these laws.
Specifically, franchisees and Owners must certify they are not listed on the Annex to Executive Order 13244 and will not become listed, hire anyone listed, or deal with anyone listed. Franchisees must immediately notify Casiola if they or any Owner becomes listed. The FDD defines "Anti-Terrorism Laws" as Executive Order 13224, the USA PATRIOT Act, and all other present and future federal, state, and local laws related to terrorist acts and acts of war.
Failure to comply with Anti-Terrorism Laws or becoming listed on the Annex to Executive Order 13244 can result in immediate termination of the Franchise Agreement by Casiola without prior notice. Franchisees are also obligated to inform Casiola in writing of any conflicts or discrepancies between their obligations under this clause and Casiola's standards or specifications outlined in the Franchise Agreement or Operations Manual. Casiola's written determination will be the final decision in resolving any conflict or ambiguity.