Does the Epcon Communities franchisee agree that they have made no misrepresentations to obtain the Franchise Agreement?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
- 21.1 By its signature set forth below, Franchisee agrees with the following statements:
- (a) As an inducement to Franchisor entering into this Agreement with Franchisee, Franchisee has made no misrepresentations in obtaining this Agreement.
- (b) Franchisee is aware of the fact that some franchisees may operate under different forms of agreements, and consequently, that Franchisor's obligations and rights in respect to its various franchisees may differ materially in certain circumstances.
- 21.2 No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud 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."
Source: Item 23 — RECEIPTS (FDD pages 86–280)
What This Means (2025 FDD)
According to the 2025 Epcon Communities Franchise Disclosure Document, specifically within an addendum for the state of Virginia, the franchisee confirms that they have not made any misrepresentations to secure the Franchise Agreement. This is documented in Article 21 of the agreement, titled "Franchisee Statements."
This clause serves as an inducement for Epcon Communities to enter into the agreement with the franchisee. By agreeing to this statement, the franchisee assures Epcon Communities that all information provided during the application and negotiation process was accurate and truthful. This protects Epcon Communities from potential legal challenges or disputes arising from inaccurate or false information provided by the franchisee.
Furthermore, the addendum clarifies that no statement, questionnaire, or acknowledgment signed by the franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Epcon Communities. This provision is designed to protect the franchisee by ensuring they retain their rights under applicable franchise laws, regardless of any agreements made during the commencement of the franchise relationship. This balance ensures both parties are protected and held accountable for their representations during the franchise process.