What specific language regarding representations, promises, inducements, guarantees, or warranties must be deleted in its entirety from the Cool Binz franchise agreement?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
by you (hereinafter "Representations"). You further acknowledge that if you had received any such Representations, you would not have executed this Agreement, and you would have: (a) promptly notified us in writing of the person or persons making such Representations; and (b) provided to us a specific written statement detailing the Representations made."
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."
No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to the 2025 Cool Binz Franchise Disclosure Document, there are specific clauses that must be deleted in their entirety from the franchise agreement. These deletions focus on representations made by Cool Binz regarding potential franchisee performance and the franchisee's reliance on any statements made by Cool Binz.
Specifically, the first clause to be deleted states that the franchisee acknowledges that Cool Binz has not made any representations about past or future sales, volume, potential profitability, earnings, or income of the Cool Binz business, except as provided in the Franchise Disclosure Document. It also states that the franchisee is not relying on any representations or statements made by Cool Binz regarding anticipated income, earnings, growth of Cool Binz outlets, the system, or the viability of the Cool Binz franchise opportunity.
The second clause to be deleted states that the franchisee acknowledges that no representations, promises, inducements, guarantees, or warranties of any kind were made by Cool Binz or on its behalf that have led the franchisee to enter into the agreement. It also states that the franchisee understands that some franchisees are more or less successful than other franchisees and that Cool Binz has made no representation that the franchisee will do as well as any other franchisee.
Finally, a third clause to be deleted states that the franchisee acknowledges entering into the agreement as a result of their own independent investigation of the Cool Binz business and not as a result of any representations made by Cool Binz's shareholders, officers, directors, employees, agents, representatives, independent contractors, or franchisees that are contrary to the terms set forth in the agreement, or in any disclosure document, prospectus, or other similar document required or permitted to be given to the franchisee pursuant to applicable law. These deletions underscore the importance of independent due diligence and the fact that Cool Binz does not guarantee any specific level of financial success for its franchisees.