What reliance on representations or statements regarding anticipated income, earnings, and growth of Cool Binz outlets is explicitly negated by the deletion of the specified language?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
17. YOUR AFFIRMATIONS. The following language shall be deleted it its entirety:
"We have not made, nor have you relied on, any representation as to the past or future sales, volume or potential profitability, earnings or income of the COOL BINZ Business, or any other COOL BINZ Business, other than the information provided in our franchise disclosure document;" and,
"You are not relying on any representation or statement that we have made, regarding the anticipated income, earnings and growth of COOL BINZ outlets, the System, or the viability of the COOL BINZ franchise opportunity."
18. REPRESENTATIONS. The following language shall be deleted it its entirety:
"YOU ACKNOWLEDGE THAT NO REPRESENTATIONS, PROMISES, INDUCEMENTS, GUARANTEES OR WARRANTIES OF ANY KIND WERE MADE BY US OR ON OUR BEHALF THAT HAVE LED YOU TO ENTER INTO THIS AGREEMENT;" and,
"YOU FURTHER UNDERSTAND THAT SOME FRANCHISEES ARE MORE OR LESS SUCCESSFUL THAN OTHER FRANCHISEES AND THAT WE HAVE MADE NO REPRESENTATION THAT YOU WILL DO AS WELL AS ANY OTHER FRANCHISEE."
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, the deletion of specific language in Sections 17 and 18 of the Franchise Agreement explicitly negates any reliance on representations or statements regarding anticipated income, earnings, and growth of Cool Binz outlets. This means that Cool Binz is removing clauses that might have previously suggested franchisees could rely on projections or promises about the financial performance of their franchise.
Specifically, the deleted language includes statements such as "We have not made, nor have you relied on, any representation as to the past or future sales, volume or potential profitability, earnings or income of the COOL BINZ Business...other than the information provided in our franchise disclosure document" and "You are not relying on any representation or statement that we have made, regarding the anticipated income, earnings and growth of COOL BINZ outlets, the System, or the viability of the COOL BINZ franchise opportunity." By removing these statements, Cool Binz is emphasizing that franchisees should not base their investment decisions on any representations about potential financial success, except for what is explicitly stated in the FDD.
This change places a greater burden on prospective franchisees to conduct their own independent due diligence and analysis of the Cool Binz franchise opportunity. They should not rely on any verbal or written promises made by the franchisor or its representatives regarding potential income or growth. Instead, they must carefully review the information provided in the FDD and seek advice from their own financial and legal advisors. This shift underscores the importance of thorough research and a realistic understanding of the risks and potential rewards of investing in a Cool Binz franchise.
Furthermore, the deletion of the statement "YOU ACKNOWLEDGE THAT NO REPRESENTATIONS, PROMISES, INDUCEMENTS, GUARANTEES OR WARRANTIES OF ANY KIND WERE MADE BY US OR ON OUR BEHALF THAT HAVE LED YOU TO ENTER INTO THIS AGREEMENT" reinforces that franchisees cannot claim they were induced to sign the agreement based on any promises or guarantees made by Cool Binz. This further protects Cool Binz from potential legal claims related to misrepresented earnings or growth projections.