Are electronic or digital signatures binding on parties in the Christian Brothers Automotive franchise agreement?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
counterparts with the same effect as if all signatories had signed the same document. The parties shall be entitled to sign this Agreement electronically or digitally and transmit electronic or digital copies of this Agreement (whether by facsimile, PDF or other email or electronic transmission), whereby such electronic signatures shall be binding on the party whose name is contained therein. Each counterpart shall be deemed an original but all counterparts shall be construed together to constitute one and the same instrument. This Agreement shall be governed by the laws of the State of Texas.
Source: Item 22 — CONTRACTS (FDD page 76)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, the franchise agreement can be signed electronically or digitally. The FDD states that parties can sign the agreement electronically or digitally and transmit copies via facsimile, PDF, email, or other electronic transmission methods. These electronic signatures are considered binding on the party whose name is contained within the signature.
This means a Christian Brothers Automotive franchisee does not necessarily need to sign a physical paper copy of the agreement. Digital copies of the agreement are acceptable, and digital signatures carry the same legal weight as traditional signatures. This can streamline the signing process, especially for franchisees who are not located near the franchisor's headquarters.
Each digitally signed copy is considered an original, and all copies together form one single agreement. This clause ensures that the agreement is enforceable regardless of whether it is executed in person or through electronic means. The agreement is governed by Texas state law.