Does the Chatime franchise agreement include any warranty or guarantee regarding the potential volume, profits, or success of the business venture?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
| and attachments) at least 14 calendar days prior to signing the Franchise Agreement? Check one: ( ) Yes ( ) No. If no, please comment: |
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| Have you studied and reviewed carefully our Franchise Disclosure Document and |
| Franchise Agreement? |
| Check one: ( |
| ) Yes ( |
| ) No. |
| If no, please comment: |
| Did you understand all the information contained in both the Franchise Disclosure |
| Document |
| and |
| the |
| Franchise |
| Agreement? |
| Check |
| one |
| ( |
| ) |
| Yes( |
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| No. |
| If |
| no, |
| please |
| comment: |
| visual location ( ) | Except as stated in Item 19 of the Franchise Disclosure Document, did any employee or other person speaking on behalf of Chatime Franchise, LLC make any oral, written, or claim, statement, promise, or representation to you that stated, suggested, predicted, or projected sales, revenues, expenses, earnings, income, or profit levels at any Chatime or business, or the likelihood of success at your franchised business? Check one: Yes( ) No. If yes, please state in detail the oral, written or visual claim or representation: |
|---|---|
| Check | Did any employee or other person speaking on behalf of Chatime Franchise, LLC make |
| any statement or promise regarding the costs involved in operating a franchise that is not | |
| contained in the Franchise Disclosure Document or that is contrary to, or different from, | |
| the information contained in the Franchise Disclosure Document? | |
| one: | |
| ( | |
| ) | |
| Yes | |
| ( | |
| ) | |
| No. | |
| If | |
| yes, | |
| please | |
| comment: | |
| Do you understand that that we and our affiliates have the right to issue franchises or | |
| operate competing businesses for or at locations, as we determine, as described in the | |
| Franchise Agreement? | |
| Check one: ( | |
| ) Yes ( | |
| ) No. |
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to the 2025 Chatime Franchise Disclosure Document, Item 23 requires franchisees to confirm whether they received any claims, statements, promises, or representations about potential sales, revenues, expenses, earnings, income, or profit levels, or the likelihood of success, that were not explicitly stated in Item 19 of the FDD. This suggests that any projections or guarantees of financial performance are limited to what is presented in Item 19. If a franchisee received any other assurances, they are required to detail them. This disclosure aims to ensure that franchisees acknowledge they are not relying on any unverified claims.
Additionally, the franchisee must confirm whether any statements or promises were made regarding the costs involved in operating a Chatime franchise that were not included in the FDD or that contradicted the information provided in the FDD. This is to ensure that all financial expectations are based solely on the documented information provided by Chatime. Franchisees also need to acknowledge that Chatime and its affiliates have the right to issue franchises or operate competing businesses at locations they determine, as described in the Franchise Agreement.
Finally, the franchisee must understand and agree that the Franchise Agreement and Franchise Disclosure Document constitute the entire agreement between them and Chatime concerning the franchise. Any prior oral or written statements not set out in these documents will not be binding. This clause reinforces that prospective franchisees should only rely on the written information provided in the FDD and the Franchise Agreement, and it protects Chatime from being held accountable for any undocumented claims or promises.