For Christian Brothers Automotive, is the franchisee required to review any related agreements provided to them?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
plans.
EXHIBIT J-1 RECEIPT
This Disclosure Document summarizes certain provisions of the franchise agreement and other information in plain language. Read this Disclosure Document and all agreements carefully.
If Christian Brothers Automotive Corporation ("CBAC") offers you a franchise, it must provide this Disclosure Document to you 14 calendar-days before you sign a binding agreement with, or make a payment to, the franchisor or an affiliate in connection with the proposed franchise sale. New York and Rhode Island require that CBAC provides you with this Disclosure Document at the earlier of the first personal meeting or ten business days before you sign a binding agreement with, or make payment to, CBAC or one of its affiliates in connection with the proposed sale. Michigan requires that CBAC provide you with this Disclosure Document ten business days before you sign a binding agreement with, or make payment to, CBAC or one of its affiliates in connection with the proposed sale.
If CBAC does not deliver this 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 the Office of the State Agency listed on Exhibit E.
The Franchisor is CBAC, located at 17725 Katy Freeway, Houston, Texas 77094. Its telephone number is (281) 675-6100.
Issuance Date: April 14, 2025.
| The name, principal business address and telephone number of each franchise seller offering the |
|---|
| franchise is as follows: Brad Fink, Christian Brothers Automotive Corporation, located at 17725 Katy |
| Freeway, Houston, Texas 77094, (281) 675-6100; and |
CBAC authorizes the respective state agencies identified on Exhibit E to receive service of process for it in the particular state.
.
I received a Disclosure Document dated April 14, 2025, that included the following Exhibits:
- A. Audited Financial Statements G. State Specific Addendum
- C.
Source: Item 22 — CONTRACTS (FDD page 76)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, franchisees are explicitly instructed to carefully read the Disclosure Document and all related agreements. This instruction appears in both Exhibit J-1 and Exhibit J-2, which are receipts that franchisees must acknowledge. This requirement ensures that prospective franchisees are fully aware of the terms, conditions, and obligations associated with the franchise agreement before entering into a binding contract or making any payments.
This requirement is a standard practice in franchising, as it aims to protect both the franchisor and the franchisee by promoting informed decision-making. By acknowledging that they have read and understood all documents, franchisees affirm that they are entering the agreement with a clear understanding of their rights and responsibilities. This helps to minimize potential disputes or misunderstandings that could arise later in the franchise relationship.
Christian Brothers Automotive also emphasizes the importance of providing the Disclosure Document to potential franchisees within a specific timeframe. They must provide the document 14 calendar days before signing any binding agreement or making a payment. However, New York and Rhode Island have slightly different requirements, mandating that the document be provided at the earlier of the first personal meeting or ten business days before signing an agreement or making a payment. Michigan requires that CBAC provide you with this Disclosure Document ten business days before you sign a binding agreement with, or make payment to, CBAC or one of its affiliates in connection with the proposed sale.
These stipulations are in place to ensure that franchisees have ample time to review the documents, seek legal counsel if necessary, and make an informed decision about investing in a Christian Brothers Automotive franchise. The FDD also advises franchisees that a violation of federal and state law may have occurred if Christian Brothers Automotive does not deliver the Disclosure Document on time or if it contains false or misleading statements, or a material omission. Such violations should be reported to the Federal Trade Commission and the Office of the State Agency listed on Exhibit E.