Can the agreement between Exit and the Sales Representative be changed orally?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
This Agreement constitutes the entire agreement between EXIT [Trade Name] and Sales Representative for the retention of the services of Sales Representative by EXIT [Trade Name] and supersedes all prior agreements in that regard.
It may be changed only by an agreement in writing signed by EXIT [Trade Name] and Sales Representative.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the agreement between Exit and its Sales Representatives can only be modified through a written agreement. The FDD specifies that the Sales Representative Agreement constitutes the entire agreement and supersedes any prior agreements.
Specifically, the document states that the agreement 'may be changed only by an agreement in writing signed by EXIT [Trade Name] and Sales Representative.' This means that any verbal agreements or understandings reached outside of a formal, written amendment to the Sales Representative Agreement are not considered valid or binding.
This requirement for written modifications provides clarity and legal certainty for both Exit and the Sales Representative. It ensures that all changes to the agreement are documented and agreed upon by both parties, reducing the potential for misunderstandings or disputes. Prospective franchisees should be aware that any promises or assurances made by Exit that are not reflected in the written agreement or a written amendment to it may not be enforceable.
This is a fairly standard practice in franchising, as it protects both the franchisor and franchisee by ensuring that all agreements are clearly documented and legally binding. It is important for prospective Sales Representatives to carefully review the Sales Representative Agreement and any amendments to it before signing, and to seek legal advice if they have any questions or concerns.