What is the significance of the franchisee's initials in the Costa Vida Fresh Mexican Grill agreement?
Costa_Vida_Fresh_Mexican_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
Document and understand and accept the provisions of this Agreement as being reasonably necessary to maintain our high standards of quality and service and the uniformity of those standards at all Costa Vida Restaurants franchised or operated by us and to protect and preserve the goodwill of the Marks. [Franchisee's Initials] 2. You acknowledge that you have conducted an independent investigation of the business venture contemplated by this Agreement and you recognize that, like any other business, the nature of the business contemplated by this Agreement may change over time, that an investment in a Costa Vida Restaurant involves business risks, and that the success of the venture is largely dependent upon your business abilities and efforts. [Franchisee's Initials] 3. You acknowledge and understand that any information relating to the sales, profits or cash flows of Costa Vida Restaurants operated by us, our Affiliates, or our franchisees that is contained in our Franchisee Disclosure Document and other materials is intended only to be an indication of historical performance of certain Costa Vida Restaurants and NOT a prediction of potential future financial performance. [Franchisee's Initials] 4. Except for the financial performance representations, if any, included in our Franchise Disclosure Document, we expressly disclaim the making of, and you acknowledge that you have not received or relied on, any express or implied warranty or guarantee as to the revenues, profits or success of the business venture contemplated by this Agreement. [Franchisee's Initials] 5. You acknowledge and understand that our officers, directors, employees and agents are acting only in a representative and not a personal capacity in their dealings with you. You also acknowledge and represent that you have not received or relied on any representations about us or our franchise program or policies from us or our officers, directors, employees or agents that are contrary to the statements made in our Franchise Disclosure Docum
Source: Item 22 — CONTRACTS (FDD pages 66–67)
What This Means (2025 FDD)
According to Costa Vida Fresh Mexican Grill's 2025 Franchise Disclosure Document, the franchisee's initials within the franchise agreement serve to acknowledge and confirm their understanding and acceptance of specific provisions. By initialing these sections, the franchisee is essentially verifying that they have read, understood, and agreed to the terms outlined by Costa Vida Fresh Mexican Grill.
Specifically, the franchisee's initials confirm that they understand the agreement is reasonably necessary to maintain Costa Vida Fresh Mexican Grill's standards for quality, service, and uniformity across all franchised and operated restaurants. It also signifies their acknowledgement of conducting an independent investigation into the business venture, recognizing the inherent risks, and understanding that their success depends on their own abilities and efforts. Furthermore, initialing indicates they understand that any financial performance data provided is not a guarantee of future financial performance.
Additionally, the franchisee's initials confirm their understanding that Costa Vida Fresh Mexican Grill disclaims any express or implied warranty or guarantee regarding the revenues, profits, or success of the business, except for any financial performance representations included in the Franchise Disclosure Document. It also acknowledges that the officers, directors, employees, and agents of Costa Vida Fresh Mexican Grill are acting in a representative capacity and that the franchisee has not relied on any representations contrary to the statements in the Franchise Disclosure Document.