Is a Chatime franchisee or its principals required to complete and sign the Acknowledgement Addendum to Franchise Agreement?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
chisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise
Each provision of this Amendment will be effective only to the extent, with respect to such provision, that the jurisdictional requirements of the Washington Franchise Investment Protection Act, RCW §§19.100.010 through 19.100.940, are met independently without reference to this Amendment.
IN WITNESS WHEREOF, the parties hereto have duly executed, sealed, and delivered this Amendment to the Franchise Agreement on the same date as that on which the Franchise Agreement was executed.
CHATIME FRANCHISE, LLC FRANCHISEE
| By: | By: |
|---|---|
| Name: | Name: |
| Title: | Title: |
Exhibit F to the Franchise Disclosure Document
ACKNOWLEDGMENT ADDENDUM TO CHATIME FRANCHISE, LLC FRANCHISE AGREEMENT
[Do not sign this Acknowledgement Addendum if you are resident of California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin, or the business is to be operated in any of these states].
As you know, you and we are entering into a Franchise Agreement for the operation of a Chatime franchise. The purpose of this Acknowledgment Addendum is to determine whether any statements or promises were made to you that we have not authorized or that may be untrue, inaccurate or misleading, and to be certain that you understand the limitations on claims that may be made by you by reason of the offer and sale of the franchise and operation of your business. Please review each of the following questions carefully and provide honest responses to each question.
Acknowledgments and Representations
| Did you receive a copy of our Franchise Disclosure Document (and all exhibits and attachments) at least 14 calendar days prior to signing the Franchise Agreement? Check one: ( ) Yes ( ) No. If no, please comment: |
|---|
| 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( |
| ) |
| No. |
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to the 2025 Chatime Franchise Disclosure Document, whether a franchisee and their principals are required to complete and sign the Acknowledgement Addendum to the Franchise Agreement depends on the state in which the franchise will operate.
Specifically, for franchisees operating in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin, neither the franchisee nor their principals are required to complete and sign the Acknowledgement Addendum. This is explicitly stated in Exhibit F of the FDD, which includes a disclaimer indicating that the addendum should not be signed if the franchisee resides or the business operates in any of these states. Furthermore, addenda for Virginia, Washington, California, Maryland, New York, and South Dakota specifically state that Exhibit F is deleted and that the franchisee and their principals are not required to complete and sign the Acknowledgement Addendum.
For prospective Chatime franchisees in states not listed above, the standard Acknowledgement Addendum to the Franchise Agreement applies, and they and their principals would be required to complete and sign it. This addendum aims to confirm that no unauthorized statements or promises were made during the franchise sales process and that the franchisee understands the limitations on potential claims related to the franchise.