factual

What are the consequences for a Face Foundrie franchisee's misrepresentation or violation of Anti-Terrorism Laws?

Face_Foundrie Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (e) Any misrepresentation under this Section or any violation of the Anti-Terrorism Laws by Franchisee or Franchisee's Owners, agents, bankers, employees and Affiliates shall constitute grounds for immediate termination of this Agreement and any other agreement Franchisee has entered into with Franchisor or an Affiliate thereof, in accordance with Section 14.02 above.

Source: Item 22 — CONTRACTS (FDD pages 73–74)

What This Means (2025 FDD)

According to Face Foundrie's 2025 Franchise Disclosure Document, any misrepresentation or violation of Anti-Terrorism Laws by a franchisee or their owners, agents, bankers, employees, and affiliates constitutes grounds for immediate termination of the franchise agreement. This consequence extends to any other agreements the franchisee has with Face Foundrie or its affiliates, as detailed in Section 14.02 of the agreement.

Face Foundrie requires franchisees and their owners to comply fully with all Anti-Terrorism Laws. They must certify that none of their property or interests are subject to being "blocked" under these laws and that they are not in violation of any such laws. Franchisees are responsible for understanding and adhering to these laws, and they acknowledge that their indemnification responsibilities, as outlined in Section 17.02 of the agreement, pertain to their obligations under Section 19.16, which addresses Anti-Terrorism Laws.

The franchise agreement defines "Anti-Terrorism Laws" broadly, including Executive Order 13224, the Terrorism Sanctions Regulation, the Foreign Terrorist Organizations Sanctions Regulations, the Cuban Assets Control Regulations, the USA PATRIOT Act, and all other present and future federal, state, and local laws related to terrorist acts. Franchisees must also ensure that they do not hire or retain anyone listed in the Annex to Executive Order 13224, which can be accessed on the Internet.

This strict adherence to Anti-Terrorism Laws is a critical aspect of the Face Foundrie franchise agreement, highlighting the brand's commitment to compliance and security. Prospective franchisees should carefully review these requirements and ensure they can meet these obligations to avoid potential termination of their franchise agreement.

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.