factual

For Eos Worldwide, when is the Franchise Agreement considered effective?

Eos_Worldwide Franchise · 2025 FDD

Answer from 2025 FDD Document

in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any

document executed in connection with the franchise.

In all other respects, the Franchise Agreement will be construed and enforced with its terms.

ACKNOWLEDGED AND AGREED:

FOR THE STATE OF CONNECTICUT

If Franchisor fails to deliver the products or supplies or fails to render the services necessary to begin substantial operation of the Franchised Business within forty-five days of the delivery date stated in the Franchise Agreement, you may notify Franchisor in writing and demand that Franchise Agreement be cancelled. Further, any provision of the Franchise Agreement which limits your right to a refund shall be qualified by the foregoing in the event you exercise this right to cancel the Franchise Agreement. In all other respects, the Franchise Agreement will be construed and enforced with its terms.

FOR THE STATE OF HAWAII

In recognition of the requirements of the Hawaii Franchise Investment Law, Hawaii Revised Statutes, Title 26, Chapter 482E et seq., the Franchise Agreement for EOS Worldwide Franchising, LLC is amended as follows:

    1. Termination; Non-Renewal and Transfers. The Hawaii Franchise Investment Law provides rights to Franchisee concerning non-renewal, termination and transfer of the Franchise Agreement. If the Agreement, and more specifically Sections 2.3 and 17, contains a provision that is inconsistent with the Hawaii Franchise Investment Law, the Hawaii Franchise Investment Law shall control.
    1. General Release. Sections 2.3 and 15.5(f) require Franchisee to sign a general release as a condition of renewal or transfer of the franchise and Section 17.1 requires Franchisee to sign a general release as a condition to exercising its right to terminate the Franchise Agreement; each such release shall exclude claims arising under the Hawaii Franchise Investment Law.
    1. Bankruptcy.

Source: Item 22 — CONTRACTS (FDD page 74)

What This Means (2025 FDD)

Based on the 2025 Eos Worldwide Franchise Disclosure Document, the Franchise Agreement's effectiveness is tied to its specific terms, but certain state laws can modify those terms. For instance, in Connecticut, if Eos Worldwide fails to provide the necessary products, supplies, or services to begin substantial operation within 45 days of the delivery date stated in the Franchise Agreement, the franchisee can cancel the agreement by written notice. In this case, any provision limiting the refund rights would be superseded.

Similarly, for franchisees in Puerto Rico, the Franchise Agreement is subject to the Puerto Rico Dealers Act (Law 75). This law stipulates that a franchise cannot be terminated or not renewed without just cause. If any clause in the Eos Worldwide Franchise Agreement conflicts with Law 75, particularly regarding termination, jurisdiction, venue, claim limitations, or jury trial waivers, the provisions of Law 75 will take precedence.

In essence, while the Eos Worldwide Franchise Agreement is generally construed and enforced according to its terms, franchisees need to be aware of specific state laws that may provide additional rights or modify the agreement's enforceability. This is particularly relevant in Connecticut and Puerto Rico, where specific legal provisions can impact the franchisee's ability to cancel the agreement or protect their rights under local laws.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.