What is the Area Developer representing to Face Foundrie as an inducement to enter into the agreement?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
The undersigned, personally and as an officer(s), member(s) or partner(s) of Area Developer, as applicable, does hereby certify that he/she has conducted an independent investigation of the business contemplated by this Area Development Agreement and the Face Foundrié Franchising L.L.C. Franchise Agreement, and that the decision to execute the Area Development Agreement was based entirely upon the independent investigation by the undersigned; and the undersigned further certifies that he/she has not relied upon, in any way, any claims regarding potential sales, income, or earnings to be derived from the business contemplated by the Franchise Agreement and Area Development Agreement, and has not relied upon any claims regarding past or current sales, income or earnings of Franchisor or its affiliate operated Face Foundrié Facial Bars that are contrary to or different from the information contained in Franchisor's Franchise Disclosure Document. The undersigned further certifies that he/she understands the risks involved in this investment and Face Foundrié Franchising L.L.C. makes no representation or guaranty, explicit or implied, that the Area Developer will be successful or will recoup his/her investment.
Source: Item 23 — RECEIPTS (FDD pages 74–257)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the Area Developer is certifying that their decision to enter into the Area Development Agreement is based on their own independent investigation and not on any claims made by Face Foundrie regarding potential sales, income, or earnings. This includes claims about past or current sales, income, or earnings of Face Foundrie or its affiliated facial bars that are inconsistent with the information provided in the Franchise Disclosure Document.
Furthermore, the Area Developer acknowledges and understands the risks associated with the investment and that Face Foundrie makes no explicit or implied guarantee of success or recouping the investment. This acknowledgement is a crucial part of the agreement, ensuring that the Area Developer is fully aware of the potential challenges and uncertainties involved in developing Face Foundrie franchises.
This certification serves to protect Face Foundrie from potential future claims by the Area Developer regarding misrepresentation or reliance on unsubstantiated claims. It reinforces the understanding that the Area Developer has conducted thorough due diligence and is entering into the agreement with a clear understanding of the risks and potential rewards, based on their own assessment rather than solely on projections provided by Face Foundrie.
In certain states with franchise registration/disclosure laws (California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin), the FDD states that no signed statement can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Face Foundrie or its representatives. This provision takes precedence over any conflicting terms in the franchise documents.