Under what circumstances is the Rider being signed in relation to the Cool Binz Franchise Agreement?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
This is a Rider to the Franchise Agreement which is being executed concurrently with this Rider, between Franchisor and Franchisee.
Notwithstanding anything to the contrary in the Franchise Agreement, in the event of a conflict between the terms of this Rider and the terms of the Franchise Agreement, the terms of this Rider shall control and supersede the Franchise Agreement. Any terms not defined herein shall have the same meanings as in the Franchise Agreement and any references to sections and paragraphs refer to the sections and paragraphs of the Franchise Agreement unless stated otherwise.
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- BACKGROUND. We and you are parties to that certain Franchise Agreement that has been signed concurrently with the signing of this Rider (the "Franchise Agreement"). This Rider is annexed to and forms part of the Franchise Agreement. This Rider is being signed because (a) the offer or sale of the franchise for the COOL BINZ Business that you will operate under the Franchise Agreement was made in the State of New York, and/or (b) you are a resident of New York and will operate the Business in New York.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to the 2025 Cool Binz Franchise Disclosure Document, the Rider to the Franchise Agreement is executed concurrently with the Franchise Agreement itself. This means that the Rider is signed at the same time as the main Franchise Agreement. The FDD excerpts provide examples of addenda for New York, North Dakota, and Minnesota.
The Rider is annexed to and forms part of the Franchise Agreement. Specifically, the Rider is signed under the following circumstances: (a) if the offer or sale of the Cool Binz franchise is made in the State of New York, North Dakota, or Minnesota, and/or (b) if the franchisee is a resident of New York, North Dakota, or Minnesota and will operate the business in that state.
The Rider serves to modify certain sections of the Franchise Agreement to comply with specific state laws. For example, the New York Rider amends sections related to agreements/releases, termination, transfer, and dispute resolution to ensure compliance with New York's General Business Law. Similarly, the Minnesota Rider addresses compliance with the Minnesota Franchises Law. These modifications ensure that the Cool Binz franchise agreement adheres to the legal requirements of the specific state in which the franchise is being offered or operated.