Under what circumstances should the 'Statement of Franchisee' not be completed for a Craters & Freighters franchise?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
THIS STATEMENT SHALL NOT BE COMPLETED BY YOU, AND WILL NOT APPLY, IF THE OFFER OR SALE OF THE FRANCHISE IS SUBJECT TO THE STATE FRANCHISE DISCLOSURE LAWS IN THE STATES OF CALIFORNIA, HAWAII, ILLINOIS, INDIANA, MARYLAND, MICHIGAN, MINNESOTA, NEW YORK, NORTH DAKOTA, RHODE ISLAND, SOUTH DAKOTA, VIRGINIA, WASHINGTON, OR WISCONSIN.
IF THE FRANCHISE IS TO BE OPERATED IN, OR YOU ARE A RESIDENT OF, MARYLAND, DO NOT SIGN THIS STATEMENT.
Source: Item 23 — RECEIPTS (FDD pages 50–193)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, the Statement of Franchisee should not be completed if the offer or sale of the franchise is subject to state franchise disclosure laws in certain states. These states include California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin.
Additionally, if the Craters & Freighters franchise is to be operated in, or the franchisee is a resident of, Maryland, the Statement of Franchisee should not be signed. This indicates that Maryland has specific regulations or legal considerations that make the statement inapplicable or unnecessary for franchisees in that state.
This requirement ensures that Craters & Freighters complies with varying state franchise laws and protects the rights of franchisees in states with specific franchise disclosure requirements. By not requiring the Statement of Franchisee in these states, Craters & Freighters avoids potential conflicts or inconsistencies with state laws, ensuring a smoother and more legally sound franchising process.