Does Chatime require the Developer to acknowledge they have not received or relied upon any warranty or guarantee as to the potential volume, profits or success of the business?

According to Chatime's 2025 Franchise Disclosure Document, the Developer acknowledges that the establishment and operation of the Development Business involves significant financial risks and that the success of the Chatime Operation will depend upon the skills and financial capacity of the Developer and the Owners, and also upon changing economic and market conditions. The Developer also acknowledges and agrees that it has conducted an independent investigation of the business contemplated by the Agreement and recognizes that it involves business risks making the success of the venture largely dependent on the business abilities of the Developer.

Chatime expressly disclaims making any warranty or guarantee, expressed or implied, as to the potential volume, profits, or success of the business venture contemplated by the Agreement. The Developer acknowledges that they have not received or relied upon any such warranty or guarantee. This means that Chatime does not provide any assurances regarding the financial performance of the franchise, and the franchisee is solely responsible for its success or failure.

This acknowledgement is a common practice in franchising, as the franchisor cannot guarantee the success of any particular franchise location due to various factors such as local market conditions, competition, and the franchisee's management skills. Prospective Chatime franchisees should carefully consider this disclaimer and conduct their own thorough due diligence, including market research and financial analysis, before investing in a franchise.