Which item in the Craters & Freighters Franchise Disclosure Document is amended by the addition of language?

According to the 2025 Craters & Freighters Franchise Disclosure Document, Item 3 is amended by adding language for franchised businesses in California. The added language states that neither Craters & Freighters Franchise Company nor any person identified in Item 2 of the Franchise Disclosure Document is subject to any currently effective order of any national securities association or national securities exchange, as defined in the Securities Exchange Action of 1934, 15 U.S.C.A.78a, et seq., suspending or expelling such persons from membership in such association or exchange.

This amendment provides additional information to prospective franchisees in California regarding the background and standing of Craters & Freighters and its associated individuals within the securities industry. It assures potential franchisees that Craters & Freighters and its key personnel are not under any disciplinary orders from national securities associations or exchanges.

For a prospective franchisee, this addition offers a degree of security and transparency, particularly if they have a background or concern related to securities regulations. It's a specific disclosure required by California franchise law to ensure that franchisees are fully informed about the franchisor's compliance and integrity in financial matters. This type of disclosure is not uncommon, as many states have specific addenda to franchise agreements to comply with local regulations and provide additional protections or information to franchisees.