Under what condition is each provision of this amendment effective for a Chatime franchise?

According to the 2025 Chatime FDD, the effectiveness of the amendment provisions is contingent upon meeting specific jurisdictional requirements. For franchisees operating in New York, each provision of the New York Amendment is effective only if the jurisdictional requirements of the New York General Business Law, Article 33, §§680 through 695, and the Codes, Rules, and Regulations of the State of New York, Title 13, Chapter VII, §§200.1 through 201.16 are independently satisfied. If these jurisdictional requirements are not met, the amendment has no force or effect.

Similarly, for franchisees in Maryland, each provision of the Maryland Amendment to both the Franchise Agreement and the Multi-Unit Development Agreement is effective only if the jurisdictional requirements of the Maryland Franchise Registration and Disclosure Law are independently met. If these requirements are not met, the Maryland Amendment has no force or effect. This condition ensures that the amendments comply with the franchise laws of New York and Maryland, providing franchisees with the protections afforded by those laws.

This conditionality is crucial for prospective Chatime franchisees as it highlights the importance of understanding and complying with state-specific franchise laws. Franchisees should consult with legal counsel to ensure that all jurisdictional requirements are met, thereby guaranteeing the effectiveness of the amendments and safeguarding their rights under the franchise agreement. This also underscores the need for Chatime to ensure its franchise agreements and amendments are fully compliant with all applicable state laws to avoid potential legal challenges and ensure a consistent and fair franchising process.