table_specific

What is the effect of the Franchisee's signature on the Creative World School Release?

Creative_World_School Franchise · 2025 FDD

Answer from 2025 FDD Document

No statement, questionnaire or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of: (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on behalf of the Franchisor. This provision supersedes any other term of any document executed in connection with the franchise.

Source: Item 23 — RECEIPTS (FDD pages 80–247)

What This Means (2025 FDD)

According to Creative World School's 2025 Franchise Disclosure Document, a franchisee's signature on any statement, questionnaire, or acknowledgement related to the start of the franchise relationship does not waive claims under state franchise law, including fraud in the inducement. It also does not disclaim reliance on the franchisor. This protection is explicitly stated to override any other conflicting terms in any document signed in connection with the franchise agreement. This clause is included in addenda and riders for franchisees in Virginia, Maryland, Minnesota and New York.

This provision is beneficial for prospective Creative World School franchisees as it ensures that they retain their legal rights and protections under applicable state franchise laws, regardless of any documents they sign during the franchise commencement. This means that franchisees cannot inadvertently waive their right to sue the franchisor for fraud or misrepresentation, providing an added layer of security.

It is important for franchisees to understand that while these clauses protect their rights, they do not eliminate the need for due diligence. Franchisees should still carefully review all documents and seek legal advice before signing any agreements. This protection is particularly relevant in states with strong franchise laws, such as Maryland and Minnesota, where specific provisions are added to further safeguard franchisee rights, including the ability to bring lawsuits in their home state and protection against unfavorable litigation venues.

Creative World School also requires franchisees to certify that they have carefully considered and truthfully responded to all questions in the Compliance Certification. The signatures of all executive officers, partners, shareholders, investors, and/or principals of the Franchisee Applicant are required on this certification, affirming their understanding and agreement. This certification highlights the importance of transparency and accurate representation in the franchise application process.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.