Does the Ella Cafe Franchise Disclosure Questionnaire require confirmation that the Franchise Agreement and its exhibits have been reviewed?
Ella_Cafe Franchise · 2024 FDDAnswer from 2024 FDD Document
, OR WHO INTEND TO OPERATE THE FRANCHISED BUSINESS IN THE STATE OF MARYLAND: DO NOT COMPLETE THIS QUESTIONNAIRE OR TO RESPOND TO ANY OF THE QUESTIONS IN THIS QUESTIONNAIRE.**
As you know, Ella Coffee Company, LLC ("we" or "us") and you are preparing to enter into a Franchise Agreement for the operation of an ELLA COFFEE HOUSE franchise. The purposes of this Questionnaire are to determine whether any statements or promises were made to you that we have not authorized or that may be untrue, inaccurate, or misleading, to be certain that you have been properly represented in this transaction, and to be certain that you understand the limitations on claims you may make by reason of the purchase and operation of your franchise. You cannot sign or date this Questionnaire the same day as the Receipt for the Franchise disclosure document, but you must sign and date it the same day you sign the Franchise Agreement and pay your franchise fee.
Please review each of the following statements and provide your initials as confirmation of each
statement: 1. __________ I have received and personally reviewed the Franchise Agreement and each exhibit or scheduled attached to it. 2. __________ I have received and personally viewed the franchise disclosure document as provided by Ella Coffee Company, LLC. 3. __________ I have signed the receipt page for the franchise disclosure document indicating the date I received it. 4. __________ I understand all the information contained in the franchise disclosure document and the Franchise Agreement. 5.
Source: Item 23 — RECEIPTS (FDD pages 50–181)
What This Means (2024 FDD)
According to Ella Cafe's 2024 Franchise Disclosure Document, the Franchise Disclosure Questionnaire includes a section where prospective franchisees must confirm they have reviewed the Franchise Agreement and its exhibits. This confirmation is obtained through the franchisee initialing a statement to that effect.
Specifically, the questionnaire aims to ensure that franchisees have been properly informed and represented in the franchise transaction. It seeks to verify that no unauthorized promises have been made and that the franchisee understands the limitations on claims they can make regarding the franchise. The questionnaire also mandates that it cannot be signed on the same day the Franchise Disclosure Document is received, but it must be signed on the same day as the Franchise Agreement.
This requirement underscores the importance Ella Cafe places on ensuring franchisees are fully aware of the terms and conditions outlined in the Franchise Agreement before committing to the franchise. By initialing the statement, the franchisee acknowledges they have taken the time to review and understand the agreement, which can help prevent misunderstandings or disputes later on. However, Maryland residents are exempt from completing the questionnaire.