Where might Crisp & Green provide more details related to the conditions for transfer and consent?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
risdictional requirements of the Indiana Deceptive Franchise Practices Law are met independently without reference to this Addendum to the Disclosure Document.
ADDENDUM TO CRISP & GREEN FRANCHISING LLC FRANCHISE DISCLOSURE DOCUMENT FOR THE STATE OF MARYLAND
In recognition of the requirements of the Maryland Franchise Registration and Disclosure Law, Maryland Code of Business Regulation §§ 14-201 - 14-233, the Franchise Disclosure Document for Crisp & Green in connection with the offer and sale of franchises for use in the State of Maryland shall be amended to include the following:
- Item 17, "Renewal, Termination, Transfer and Dispute Resolution," shall be amended by the addition of the following language:
The general release language required as a condition of renewal, sale and/or assignment or transfer will not apply to claims arising under the Maryland Franchise Registration and Disclosure Law.
Although the franchise agreement and area development agreement require litigation to be held in the city where our principal executive office is located, you may sue in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law, subject to the mediation and arbitration provisions of the franchise agreement and area development agreement.
The franchise agreement and area development agreement provide for termination upon your bankruptcy. This provision might not be enforceable under federal bankruptcy law (11. U.S.C. Sections 101 et seq.), but we will enforce it to the extent enforceable.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to the 2024 Crisp & Green Franchise Disclosure Document, Item 17, "Renewal, Termination, Transfer and Dispute Resolution," is the section that would typically address the conditions for transfer and consent.
Specifically, for franchisees in Maryland and Virginia, there are addenda to the FDD that amend Item 17. The Maryland addendum states that the general release language required as a condition of sale and/or assignment or transfer will not apply to claims arising under the Maryland Franchise Registration and Disclosure Law. The Virginia addendum states that only the terms of the Franchise Agreement, Area Development Agreement, and other related written agreements are binding (subject to applicable state law). Any representations or promises outside of the disclosure document, Franchise Agreement, and Area Development Agreement may not be enforceable.
Therefore, prospective Crisp & Green franchisees should carefully review Item 17 and any state-specific addenda to understand the specific conditions for transfer, the consent required from Crisp & Green, and any limitations or protections afforded by state laws.