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What are the consequences of a misrepresentation or violation of Anti-Terrorism Laws by a Cicis franchisee?

Cicis Franchise · 2025 FDD

Answer from 2025 FDD Document

Any misrepresentation by you under this Section 5.H. or any violation of the Anti-Terrorism Laws by you, your Owners, or your employees will constitute grounds for immediate termination of this Agreement and any other agreement you have entered into with us or one of our affiliates in accordance with the terms of Sections 15.A(2) of this Agreement. "Anti-Terrorism Laws" means Executive Order 13224 issued by the President of the United States, the Terrorism Sanctions Regulations (Title 31, Part 595 of the U.S.

Code of Federal Regulations), the Foreign Terrorist Organizations Sanctions Regulations (Title 31, Part 597 of the U.S.

Code of Federal Regulations), the Cuban Assets Control Regulations (Title 31, Part 515 of the U.S.

Code of Federal Regulations), the USA PATRIOT Act, and all other present and future Laws and any other requirements of any governmental authority (including the United States Department of Treasury Office of Foreign Assets Control) addressing or in any way relating to terrorist acts and acts of war.

Source: Item 22 — CONTRACTS (FDD pages 64–65)

What This Means (2025 FDD)

According to the 2025 Cicis Franchise Disclosure Document, any misrepresentation or violation of Anti-Terrorism Laws by a franchisee, their owners, or employees constitutes grounds for immediate termination of the Franchise Agreement and any other agreements with Cicis or its affiliates.

Cicis defines "Anti-Terrorism Laws" to include Executive Order 13224 issued by the President of the United States, the Terrorism Sanctions Regulations, the Foreign Terrorist Organizations Sanctions Regulations, the Cuban Assets Control Regulations, the USA PATRIOT Act, and all other present and future Laws and any other requirements of any governmental authority (including the United States Department of Treasury Office of Foreign Assets Control) addressing or in any way relating to terrorist acts and acts of war.

This clause emphasizes the importance Cicis places on compliance with anti-terrorism regulations. For a prospective franchisee, this means that any past, present, or future association with individuals or entities listed under Anti-Terrorism Laws, or any misrepresentation regarding such associations, could lead to the immediate loss of their franchise. Franchisees must ensure that they, their owners, and their employees are fully compliant with these laws to avoid termination of their agreement with Cicis.

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.