Does Christian Brothers Automotive require franchisees to certify that they are not involved in terrorism?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
- C. You further acknowledge that the President of the United States of America has issued Executive Order 13224 (the "Executive Order") prohibiting transactions with terrorists and terrorist organizations and that the United States government has adopted, and in the future may adopt, other anti-terrorism measures (the "Anti-Terrorism Measures"). The Franchisor therefore requires certain certifications that the parties with whom it deals are not directly involved in terrorism. For that reason, you hereby certify that neither you nor any of your employees, agents or representatives, nor any other person or entity associated with you, is:
- (i) a person or entity listed in the Annex to the Executive Order;
- (ii) a person or entity otherwise determined by the Executive Order to have committed acts of terrorism or to pose a significant risk of committing acts of terrorism;
- (iii) a person or entity who assists, sponsors, or supports terrorists or acts of terrorism; or
- (iv) owned or controlled by terrorists or sponsors of terrorism.
You further covenant that neither you nor any of your employees, agents or representatives, nor any other person or entity associated with you, will during the term of the Franchise Agreement become a person or entity described above or otherwise become a target of any Anti-Terrorism Measure.
Source: Item 22 — CONTRACTS (FDD page 76)
What This Means (2025 FDD)
According to Christian Brothers Automotive's 2025 Franchise Disclosure Document, franchisees are required to certify that they are not involved in terrorism. Specifically, franchisees must acknowledge that the President of the United States issued Executive Order 13224, which prohibits transactions with terrorists and terrorist organizations. Christian Brothers Automotive requires certain certifications to ensure parties they deal with are not directly involved in terrorism.
As part of this certification, a prospective Christian Brothers Automotive franchisee must certify that neither they, nor any of their employees, agents, representatives, or any person or entity associated with them, are (i) a person or entity listed in the Annex to the Executive Order; (ii) a person or entity otherwise determined by the Executive Order to have committed acts of terrorism or to pose a significant risk of committing acts of terrorism; (iii) a person or entity who assists, sponsors, or supports terrorists or acts of terrorism; or (iv) owned or controlled by terrorists or sponsors of terrorism.
Furthermore, the franchisee must covenant that neither they nor their employees, agents, representatives, or any associated person or entity will become a person or entity described above or a target of any Anti-Terrorism Measure during the term of the Franchise Agreement. This requirement is included in Item 22 of the Franchise Disclosure Document, which covers contract-related matters.