Are Chatime franchisees and their principals required to complete and sign the Acknowledgement Addendum (Exhibit F) to the Franchise Agreement?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
ed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, 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.
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: |
VIRGINIA
VIRGINIA ADDENDUM TO THE CHATIME FRANCHISE, LLC FRANCHISE DISCLOSURE DOCUMENT
In recognition of the requirements of the Virginia State Corporation Commission, the Chatime Franchise, LLC Franchise Disclosure Document for use in the State of Virginia will be amended to include the following:
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- Exhibit F to the Franchise Disclosure Document (Acknowledgement Addendum to Franchise Agreement) is deleted. Franchisee and its principals are not required to complete and sign the Acknowledgement Addendum.
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- No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, 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.
VIRGINIA AMENDMENT TO THE CHATIME FRANCHISE, LLC FRANCHISE AGREEMENT
In recognition of the requirements of the Virginia State Corporation Commission, the parties to the attached Chatime Franchise, LLC Franchise Agreement (the "Franchise Agreement") agree as follows:
- No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, 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.
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 |
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| ------------------------------ | ------------ |
| By: | By: |
|---|---|
| Name: | Name: |
| Title: | Title: |
WASHINGTON
WASHINGTON ADDENDUM TO THE CHATIME FRANCHISE, LLC FRANCHISE DISCLOSURE DOCUMENT
In recognition of the requirements of the Washington Franchise Investment Protection Act, RCW §§19.100.010 through 19.100.940, the Chatime Franchise, LLC Franchise Disclosure Document for the offer and sale of franchises in the State of Washington will be amended as follows:
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- The Disclosure Document is amended to add the following risk factor:
- "Use of Franchise Brokers. The franchisor uses the services of franchise brokers to assist it in selling franchises. A franchise broker represents the franchisor and is paid a fee for referring prospects to the franchisor and/or selling the franchise. Carefully evaluate any information provided by a franchise broker about a franchise. Do your own investigation by contacting the franchisor's current and former franchisees to ask them about their experience with the franchisor."
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- In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, RCW §19.100 will prevail.
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- RCW §19.100.180 may supersede the Franchise Agreement in your relationship with the Franchisor including the areas of termination and renewal of your franchise. There may be court decisions which may supersede the Franchise Agreement in your relationship with the Franchisor including the areas of termination and renewal of your franchise.
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Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to the 2025 Chatime Franchise Disclosure Document, whether franchisees and their principals are required to complete and sign the Acknowledgement Addendum (Exhibit F) to the Franchise Agreement depends on the state in which the franchise will operate.
For franchisees operating in California, Maryland, New York, South Dakota, Virginia, and Washington, Exhibit F is deleted, and franchisees and their principals are not required to complete and sign the Acknowledgement Addendum. This is due to specific state franchise laws and regulations that supersede the standard franchise agreement terms. These states have addenda to the Chatime Franchise Disclosure Document that explicitly remove the requirement for franchisees to sign the Acknowledgement Addendum.
It is important to note that the Acknowledgement Addendum itself states that franchisees residing or operating a business in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin should not sign the addendum. This instruction is included to ensure compliance with varying state laws designed to protect franchisees from inadvertently waiving their rights.