Is the Franchisee Acknowledgement exhibit applicable to the Face Foundrie Franchise Agreement in California?

According to Face Foundrie's 2025 Franchise Disclosure Document, the Franchisee Acknowledgement exhibit is not applicable to the Franchise Agreement if the offer or sale of the franchise is subject to state franchise registration/disclosure laws in California. The document explicitly states that it should not be signed and will not apply in such cases. This means that prospective Face Foundrie franchisees in California will not be required to sign this particular acknowledgement.

This exclusion is significant because the Franchisee Acknowledgement is designed to confirm that the franchisee was not subject to unauthorized promises or misrepresentations during the franchise sales process. It also aims to ensure the franchisee understands the limitations on claims they can make regarding the purchase and operation of their franchise. By excluding franchisees in registration states like California, Face Foundrie acknowledges that these states have their own regulatory frameworks in place to protect franchisees during the franchise sales process.

For a prospective Face Foundrie franchisee in California, this means they do not need to complete the Franchisee Acknowledgement form. However, it is crucial to understand that other exhibits and agreements within the Franchise Agreement will still apply. Furthermore, California's franchise laws provide certain protections and disclosures that Face Foundrie must adhere to, ensuring a level of transparency and legal compliance in the franchise offering.