factual

If the Checkers Franchise Disclosure Document contains a false statement, to whom should it be reported?

Checkers Franchise · 2025 FDD

Answer from 2025 FDD Document

If Checkers does not deliver this Franchise Disclosure Document on time or if it contains a false or misleading statement, or a material omission, a violation of federal law and state law may have occurred and should be reported to the Federal Trade Commission, Washington, D.C. 20580 and any applicable state agency.

Source: Item 23 — RECEIPTS (FDD pages 92–384)

What This Means (2025 FDD)

According to Checkers's 2025 Franchise Disclosure Document, if the document contains a false or misleading statement, or a material omission, it may constitute a violation of federal and state law. In such cases, the document advises that it should be reported to the Federal Trade Commission (FTC) in Washington, D.C., as well as to any applicable state agency.

This instruction is included in the receipt section of the FDD, emphasizing the importance of franchisees carefully reading and understanding the document and all related agreements. The FDD also states that Checkers must provide the Franchise Disclosure Document to you 14 calendar days before you sign a binding agreement or make a payment. This gives prospective franchisees time to review the document and seek legal counsel if needed.

For a prospective Checkers franchisee, this means that they have a recourse if they find discrepancies or inaccuracies in the FDD. Reporting such issues to the FTC and state agencies can help protect their investment and ensure compliance with franchise laws. It is crucial for franchisees to conduct thorough due diligence and seek professional advice to identify any potential false statements or omissions before entering into a franchise agreement with Checkers.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.