In which states is the Deka Lash Closing Acknowledgments exhibit not to be used for franchise sales to residents?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
EXHIBIT F-5 CLOSING ACKNOWLEDGMENTS
Not to be used as to any franchise sale in or to residents of CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI]
Do not sign the Closing Acknowledgments if you are a resident of Maryland or the franchise is to be operated in Maryland.
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
According to the 2024 Deka Lash Franchise Disclosure Document, the Closing Acknowledgments exhibit (Exhibit F-5) is not to be used for franchise sales in or to residents of specific states. These states include California (CA), Hawaii (HI), Illinois (IL), Indiana (IN), Maryland (MD), Michigan (MI), Minnesota (MN), New York (NY), North Dakota (ND), Rhode Island (RI), South Dakota (SD), Virginia (VA), Washington (WA), and Wisconsin (WI).
This restriction likely arises from specific franchise laws or regulations in these states that may conflict with the standard language or intent of the Closing Acknowledgments exhibit. These states often have more stringent requirements for franchise disclosure and franchisee protection, necessitating the exclusion of certain standardized documents to ensure compliance with local laws.
Furthermore, the document specifies that the Closing Acknowledgments should not be signed by residents of Maryland or if the franchise is to be operated in Maryland. This additional caution suggests that Maryland has particular regulations that require careful attention during the franchise sales process. A prospective franchisee should consult with a franchise attorney to understand the implications of these state-specific restrictions and ensure full compliance with all applicable laws and regulations before signing any agreements.