Where must a modification to the Cornwell Quality Tools agreement be accepted for it to be effective?
Cornwell_Quality_Tools Franchise · 2025 FDDAnswer from 2025 FDD Document
The undersigned, individually and/or collectively, having a franchised dealership of Cornwell Quality Tools products and (if applicable) the individual owner or owners of such dealership if it is an entity, as active partners in the operation of the business (individually and/or collectively referred to as "Dealer"), hereby orders and agrees to purchase from CORNWELL QUALITY TOOLS COMPANY, an Ohio Corporation ("Cornwell"), the inventory and other property to be delivered to Dealer by Cornwell and described on documentation to be sent to Dealer at the times of shipment (the "Inventory"). This order will become binding and effective when accepted in writing by Cornwell in Ohio.
Source: Item 23 — RECEIPT (FDD pages 101–373)
What This Means (2025 FDD)
According to Cornwell Quality Tools' 2025 Franchise Disclosure Document, a purchase order, note, and security agreement becomes binding and effective when accepted in writing by Cornwell Quality Tools in Ohio. This applies to the standard Dealer Purchase Order, the Franchise Developer DSA Dealer Purchase Order, Note and Security Agreement, and the Dealer Purchase Order, Note, and Security Agreement for the Veterans Program.
This means that any purchase orders or agreements related to inventory or other property must be formally approved by Cornwell Quality Tools at their Ohio location to be considered valid. This provision ensures that Cornwell Quality Tools maintains control over the distribution and sale of its products and that all agreements adhere to their standards and procedures.
For a prospective Cornwell Quality Tools dealer, this implies that any purchase orders or modifications to existing agreements are not final until Cornwell Quality Tools provides written acceptance in Ohio. Dealers should ensure they receive this written confirmation before relying on any new terms or conditions. This requirement protects both Cornwell Quality Tools and the dealer by establishing a clear point at which the agreement becomes legally binding.