Does the Counselor Realty FDD mention any specific language that must be included on the receipt?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
RECEIPT
THIS DISCLOSURE DOCUMENT SUMMARIZES CERTAIN PROVISIONS OF THE FRANCHISE AGREEMENT AND OTHER INFORMATION IN PLAIN LANGUAGE. READ THIS FRANCHISE DISCLOSURE DOCUMENT AND ALL AGREEMENTS CAREFULLY.
IF COUNSELOR OFFERS YOU A FRANCHISE, COUNSELOR MUST PROVIDE THIS FRANCHISE DISCLOSURE DOCUMENT TO YOU 14 CALENDAR DAYS BEFORE YOU SIGN A BINDING AGREEMENT WITH, OR MAKE A PAYMENT TO, COUNSELOR OR ITS AFFILIATES IN CONNECTION WITH THE PROPOSED FRANCHISE SALE.
IF COUNSELOR DOES NOT DELIVER THIS DISCLOSURE DOCUMENT ON TIME OR IF IT CONTAINS A FALSE OR MISLEADING STATEMENT, OR A MATERIAL OMISSION, A VIOLATION OF FEDERAL AND STATE LAW MAY HAVE OCCURRED AND SHOULD BE REPORTED TO THE FEDERAL TRADE COMMISSION, WASHINGTON, D.C. 20580 AND THE WISCONSIN COMMISSIONER OF SECURITIES, 345 WEST WASHINGTON AVENUE, 4TH FLOOR, MADISON, WISCONSIN 53703.
I have received a Franchise Disclosure Document dated April 21, 2025 for the State of Wisconsin that included the following exhibits:
Source: Item 23 — RECEIPTS (FDD pages 32–70)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, the receipt must include specific language summarizing key aspects of the franchise agreement and related information. The receipt serves as an acknowledgment that the prospective franchisee has received and reviewed the Franchise Disclosure Document (FDD). It also outlines certain legal rights and obligations of both the franchisor and franchisee. The receipt confirms that the FDD was provided to the franchisee at least 14 calendar days before signing any binding agreement or making any payment to Counselor Realty. This waiting period is mandated by federal and state laws to allow franchisees sufficient time to carefully consider the franchise opportunity. The receipt also includes a notice that any false or misleading statements or material omissions in the FDD may constitute a violation of federal and state law, and should be reported to the appropriate authorities. This provision is designed to protect franchisees from deceptive or fraudulent practices by the franchisor. The receipt also includes the date of the Franchise Disclosure Document and a space to list the exhibits included with the document. This ensures that the franchisee is aware of all the documents that make up the complete FDD. The receipt also includes contact information for the Federal Trade Commission and the Wisconsin Commissioner of Securities, where violations can be reported. This provides franchisees with a clear path to seek legal recourse if they believe they have been misled or defrauded by Counselor Realty.
Overall, the required language on the receipt is intended to ensure transparency and protect the rights of prospective Counselor Realty franchisees. By acknowledging receipt of the FDD and understanding their legal rights, franchisees are better equipped to make informed decisions about investing in a Counselor Realty franchise. The receipt serves as a critical component of the franchise sales process, promoting fairness and accountability between the franchisor and franchisee.