What documents must a Cicis franchisee sign to permit electronic fund transfers?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to sign all documents necessary to permit us to withdraw funds from your designated bank account by EFT in the amounts due under this Agreement from time to time, at the time or times that such amounts become due and payable under the terms of this Agreement.
If you fail to timely provide us with a Net Sales Report, then we may process an EFT for the subject week based on the most recent Net Sales Report you provided to us; provided that if it is subsequently determined (i) that the actual amount of the fee due was more than the amount of the EFT, then we will be entitled to withdraw additional funds through EFT from your designated bank account for the difference; or (ii) that the actual amount of the fee due was less than the amount of the EFT, then we will credit the excess amount to the payment of your future obligations.
Should any EFT not be honored by your bank for any reason, you will be responsible for the payment that was the subject of the EFT, plus our then-current service charge, which may include any service charge due to the bank.
If any payments are not received when due, we may charge interest in accordance with Section 4.F above.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, a franchisee must sign all documents necessary to permit Cicis to withdraw funds from the franchisee's designated bank account via Electronic Funds Transfer (EFT). This authorization allows Cicis to collect amounts due under the Franchise Agreement. These withdrawals will occur at the times and in the amounts that are due according to the agreement's terms.
In cases where a franchisee fails to provide a timely Net Sales Report, Cicis is authorized to process an EFT based on the most recent Net Sales Report available. If there is a discrepancy between the estimated EFT amount and the actual amount due, Cicis will either withdraw additional funds to cover the difference or credit any excess amount to the franchisee's future obligations.
If an EFT is not honored by the franchisee's bank for any reason, the franchisee is responsible for the original payment, as well as any service charges incurred by Cicis, including bank fees. Additionally, Cicis may charge interest on any payments not received when due, as outlined in Section 4.F of the Franchise Agreement. This ensures that Cicis has a mechanism to collect owed funds efficiently while also protecting itself from potential losses due to late or missed payments.