Does the Exit FDD receipt acknowledgement include any statements about reliance on representations?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
The success of Sales Representative in an EXIT [Trade Name] real estate service business is speculative and will depend on many factors, including, to a large extent, Sales Representative's independent business ability. Sales Representative has not relied on any warranty or representation written, printed, or oral, express or implied, as to Representative's potential success in the business contemplated by this Agreement.
Sales Representative acknowledges having read and understood the foregoing prior to signing it and acknowledges being in receipt of a fully executed copy of this Agreement.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the Sales Representative agreement includes an acknowledgement that the Sales Representative has not relied on any warranty or representation regarding their potential success in the business. Specifically, the document states that the Sales Representative acknowledges they have not relied on any written, printed, or oral, express or implied warranty or representation regarding their potential success in the Exit real estate service business.
This statement is included in the agreement the Sales Representative signs, indicating they understand and agree that their success depends largely on their own business abilities. It serves to protect Exit from potential claims that a Sales Representative was misled into joining the franchise based on unrealistic promises of success.
Prospective Exit franchisees should carefully consider this acknowledgement and conduct their own due diligence to assess the potential for success in their specific market. They should not rely solely on representations made by Exit during the franchise sales process but should instead perform independent research and analysis to determine the viability of the franchise opportunity.