Does Deka Lash require franchisees to acknowledge they have read the Franchise Disclosure Document and the Franchise Agreement?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
DL FRANCHISING, LLC ("Deka Lash") ("we/us"), through the use of this Franchisee Closing Acknowledgement, desires clarify and confirm your understanding and acceptance of the terms of the agreements, to verify certain information about the sales process, and to confirm that we and our employees have complied with applicable franchise disclosure laws and have not authorized anything that may be untrue, inaccurate or misleading. We further desire to confirm that you fully understand that the purchase of a Deka Lash franchise is a business decision involving the evaluation of many risks. Our policy is to verify and confirm that in making your decision you are not relying upon any oral statement, representation, promise or assurance made during the negotiations for the purchase of a Deka Lash franchise by any of our directors, officers, employees, agents, or representatives (each, a "Representative") that is not specifically reported in our then-current Franchise Disclosure Document, including all of the exhibits attached to it (the "Franchise Disclosure Document"). Please review each of the following questions and statements and INITIAL ONLY IF YOU AGREE WITH SUCH. IF YOU DO NOT AGREE WITH THE FOLLOWING, DO NOT SIGN YOUR FRANCHISE AGREEMENT.
- I have personally and carefully reviewed the Franchise Disclosure Document and Deka Lash Franchise Agreement and understand the terms, conditions, and obligations of these agreements.
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
Yes, according to the 2024 Deka Lash Franchise Disclosure Document, franchisees are required to acknowledge that they have carefully reviewed both the Franchise Disclosure Document and the Deka Lash Franchise Agreement. This acknowledgement is part of a broader process where Deka Lash aims to confirm the franchisee's understanding and acceptance of the agreement terms.
The "Closing Acknowledgments" document includes a statement where the franchisee must initial to confirm they have personally and carefully reviewed the Franchise Disclosure Document and Franchise Agreement, and that they understand the terms, conditions, and obligations outlined in these agreements. This acknowledgement is a prerequisite for signing the Franchise Agreement, emphasizing the importance Deka Lash places on ensuring franchisees are fully informed before committing to the franchise.
However, the FDD stipulates that the Closing Acknowledgments form is not to be used for franchise sales to residents of or franchises operated in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin. This suggests that Deka Lash may have alternative acknowledgement procedures or forms for franchisees in those specific states, potentially to comply with state-specific franchise laws or regulations. Prospective franchisees in those states should confirm the specific requirements with Deka Lash.
In addition to the Closing Acknowledgments, Deka Lash also requires franchisees to sign a receipt for the Franchise Disclosure Document. This receipt confirms that the franchisee received the document, along with its exhibits, including the Franchise Agreement. This receipt also serves as an acknowledgement of receiving the FDD, further emphasizing the importance of franchisees reviewing all provided documentation.