What constitutes the entire agreement between the franchisee and Desi District Franchise Group?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
the Business. Desi District Franchise Group has no liability for Franchisee's obligations to any third party whatsoever.
- 18.2 No Third-Party Beneficiaries. This Agreement does not confer any rights or remedies upon any person or entity other than Franchisee, Desi District Franchise Group, and Desi District Franchise Group's affiliates.
- 18.3 Entire Agreement. This Agreement constitutes the entire agreement of the parties and supersedes all prior negotiations and representations. Nothing in this Agreement or in any related agreement is intended to disclaim the representations made by Desi District Franchise Group in its franchise disclosure document.
- 18.4 Modification. No modification or amendment of this Agreement will be effective unless it is in writing and signed by both parties. This provision does not limit Desi District Franchise Group'
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, the franchise agreement represents the entire understanding between the franchisee and Desi District Franchise Group. This means that all prior negotiations, representations, and agreements are superseded by the terms and conditions outlined in the franchise agreement itself.
Specifically, the franchisee acknowledges that no statements or promises made by anyone on Desi District's behalf, regarding costs, profits, earnings, or other aspects of the franchise, are binding unless they are explicitly included in the franchise agreement or the Franchise Disclosure Document (FDD). This is a standard clause in franchise agreements to prevent misunderstandings based on verbal or informal communications during the sales process.
For a prospective Desi District franchisee, this clause underscores the importance of carefully reviewing the franchise agreement and the FDD before signing. Any expectations or understandings should be confirmed in writing within these documents to ensure they are enforceable. The franchisee is essentially agreeing that they are not relying on any information outside of these official documents in their decision to invest in a Desi District franchise. This protects Desi District from claims based on representations not contained in the FDD or franchise agreement.
Furthermore, the franchise agreement states that any oral or written statements not explicitly set out in the agreement will not be considered binding. In deciding to enter into the agreement, the franchisee is affirming that they are not relying on any statement, promise, claim, or representation not expressly detailed in the agreement or in the Disclosure Document.