Are there any State Addenda to Agreements included as an exhibit in the Desi District FDD for Desi District?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
any Guarantor are not required to sign a general release upon renewal of the Agreement.
- (9) Limitation of Claims: Franchisee is not required to consent to a limitation of claims. The statute of limitations under North Dakota law applies.
- (10) Enforcement of Agreement: The prevailing party in any enforcement action is entitled to recover all costs and expenses including attorney's fees.
- 3. Effective Date. This Rider is effective as of the Effective Date.
DESI DISTRICT FRANCHISE GROUP, LLC
RHODE ISLAND RIDER TO FRANCHISE AND MULTI-UNIT DEVELOPMENT AGREEMENT
Delaware Limited Liability Company (the "Agreement"), between Desi District Franchise Group, LLC, a ("Desi District Franchise Group") and , a ("Franchisee"). 1. Capitalized terms used but not defined in this Rider have the meanings given Definitions. in the Agreement. 2. Any provision of the Agreement restricting jurisdiction or venue Jurisdiction and Venue. to a forum outside the State of Rhode Island or requiring the application of the laws of another Investment Act. state is void with respect to a claim otherwise enforceable under Rhode Island Franchise 3. This Rider is effective as of the Effective Date. Effective Date. Agreed to by: DESI DISTRICT FRANCHISE GROUP, LLC
WASHINGTON ADDENDUM TO DISCLOSURE DOCUMENT AND RIDER TO FRANCHISE AND MULTI-UNIT DEVELOPMENT AGREEMENT
The state of Washington has a statute, RCW 19.100.180 which may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise.
In any arbitration involving a franchise purchased in Washington, the arbitration site shall be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator.
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.
A release or waiver of rights executed by a franchisee shall not include rights under the Washington Franchise Investment Protection Act except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. Provisions such as those which unreasonably restrict or limit the statute of limitation period for claims under the Act, rights or remedies under the Act such as a right to a jury trial may not be enforceable.
Transfer fees are collectable to the extent that they reflect the franchisor's reasonable estimated or actual costs in effecting a transfer.
DESI DISTRICT FRANCHISE GROUP, LLC Agreed to by:
STATE EFFECTIVE DATES
The following states have franchise laws that require that the Franchise Disclosure Document be registered or filed with the states, or be exempt from registration: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin.
This document is effective and may be used in the following states, where the document is filed, registered, or exempt from registration, as of the Effective Date stated below:
State Effective Date Other states may require registration, filing, or exemption of a franchise under other laws, such as those that regulate the offer and sale of business opportunities or seller-assisted marketing plans.
RECEIPT
This disclosure document summarizes certain provisions of the franchise agreement and other information in plain language. Read this disclosure document and all agreements carefully.
If Desi District Franchise Group, LLC offers you a franchise, it must provide this disclosure document to you 14 calendar-days before you sign a binding agreement with, or make a payment to, the franchisor or an affiliate in connection with the proposed franchise sale. New York requires that you be given this disclosure document at the earlier of the first personal meeting or 10 business days before the execution of any franchise or other agreement, or payment of any consideration that relates to the franchise relationship.
If Desi District Franchise Group, LLC does not deliver this disclosure document on time or if it contains a false or misleading statement, or a material omission, a violation of federal law and state law may have occurred and should be reported to the Federal Trade Commission, Washington, D.C. 20580 and any applicable state agency (which are listed in Exhibit A).
The name, principal business address, and telephone number of each franchise seller offering the franchise is:
| Name | Principal Business Address | Telephone Number |
|---|---|---|
| Sridhar Chigurupati | 13389 Marmolada Drive, Frisco, TX 75035 | (512) 786-9006 |
| Ashwin Alladi | ||
| Ravi Chilamkurti |
Issuance Date: June 17th, 2024
I received a disclosure document dated 6/17/2024, that included the following Exhibits:
- A. State Administrators and Agents for Service of Process
- B. Franchise Agreement (with Guaranty and Non-Compete Agreement)
- C. Multi-Unit Development Agreement
- D. Rider to Lease Agreement
- E. Form of General Release
- F. Financial Statements
- G. Brand Standards Manual Table of Contents
- H. Current and Former Franchisees
- I. State Addenda to Disclosure Document
- J. State Addenda to Agreements
| Signature: | |
|---|---|
| Print Name: | |
| Date | |
| Received: |
Keep This Copy For Your Records
RECEIPT
This disclosure document summarizes certain provisions of the franchise agreement and other information in plain language.
Source: Item 23 — RECEIPTS (FDD pages 52–140)
What This Means (2024 FDD)
Yes, according to the 2024 Desi District Franchise Disclosure Document, there are several state-specific addenda and riders that modify the standard franchise agreement for franchisees in certain states. These addenda address specific legal requirements and franchisee protections as mandated by state franchise laws.
For example, there is a "RHODE ISLAND RIDER TO FRANCHISE AND MULTI-UNIT DEVELOPMENT AGREEMENT" which states that any agreement provision restricting jurisdiction or venue to a forum outside of Rhode Island, or requiring the application of other states' laws, is void with respect to claims enforceable under the Rhode Island Franchise Investment Act. Similarly, the "MARYLAND RIDER TO FRANCHISE AGREEMENT AND MULTI-UNIT DEVELOPMENT AGREEMENT" clarifies that releases, estoppels, and waivers of liability do not act as waivers of liability under the Maryland Franchise Law. It also specifies that any limitations on causes of action in the agreement do not apply to causes of action under Maryland Franchise Law, and franchisees must bring action within three years of the franchise grant.
Additionally, there is a "WASHINGTON ADDENDUM TO DISCLOSURE DOCUMENT AND RIDER TO FRANCHISE AND MULTI-UNIT DEVELOPMENT AGREEMENT" which notes that Washington state law (RCW 19.100.180) may supersede the franchise agreement, particularly in areas of termination and renewal. The addendum also specifies that arbitration sites for franchises purchased in Washington must be in Washington, unless otherwise agreed upon. Furthermore, the "HAWAII ADDENDUM TO DISCLOSURE DOCUMENT" states that the franchises have been filed under the Franchise Investment Law of Hawaii, and it includes specific language regarding the provision of the disclosure document and agreements to prospective franchisees. Finally, the "NORTH DAKOTA ADDENDUM TO DISCLOSURE DOCUMENT" indicates that the Securities Commissioner has deemed certain aspects as unfair, unjust, or inequitable to North Dakota franchisees.
These state-specific addenda are crucial for prospective franchisees to understand because they modify the standard franchise agreement to comply with local laws and provide additional protections. Franchisees should carefully review the addendum for their specific state to understand their rights and obligations under the franchise agreement, as these addenda can significantly impact the franchisee-franchisor relationship and legal recourse available.