According to the Checkersrallys Franchise Agreement, what constitutes an 'electronic signature'?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
The counterparts of this Agreement and all ancillary documents executed or delivered in connection with this Agreement may
be executed and signed by electronic signature by any of the parties to this Agreement, and delivered by electronic or digital communications to any other party to this Agreement, and the receiving party may rely on the receipt of such document so executed and delivered by electronic or digital communications signed by electronic signature as if the original has been received. For the purposes of this Agreement, electronic signature means, without limitation, an electronic act or acknowledgement (e.g., clicking an "I Accept" or similar button), sound, symbol (digitized signature block), or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to the 2025 Checkersrallys Franchise Disclosure Document, an electronic signature includes various digital methods of indicating agreement. Specifically, it encompasses an electronic act or acknowledgement, such as clicking an "I Accept" button. It also includes a sound, a symbol like a digitized signature block, or any process attached to or logically associated with a record. The electronic signature must be executed or adopted by a person with the intent to sign the record.
This definition means that Checkersrallys franchisees can sign agreements and documents electronically, streamlining the process. The FDD clarifies that receiving parties can rely on electronically signed documents delivered via electronic or digital communications as if they were original documents. This acceptance of electronic signatures simplifies administrative tasks and potentially speeds up the franchising process.
For a prospective Checkersrallys franchisee, this clause offers convenience and efficiency. It allows for remote signing of documents, reducing the need for physical meetings and paperwork. However, franchisees should ensure they understand the technology and security protocols used for electronic signatures to protect against fraud or misuse. It is also important to verify that all parties involved in the agreement accept and recognize electronic signatures as legally binding.
This approach to electronic signatures is fairly standard in modern franchising. The ability to execute documents electronically can save time and resources for both the franchisor and the franchisee, making the overall process more efficient. Franchisees should confirm with Checkersrallys the specific platforms or methods used for electronic signatures to ensure compatibility and security.