Does the Face Foundrie franchisor rely on the franchisee's statements when executing the agreement?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.03 Representations. Franchisee and its Owners, jointly and severally, represent and warrant to Franchisor that: (a) neither Franchisee nor any of its Owners have made any untrue statement of any material fact or has omitted to state any material fact in the written information submitted in obtaining the rights granted hereunder; (b) neither Franchisee nor any of its Owners have any direct or indirect legal or beneficial interest in any beauty-related business that may be deemed a Competitive Business, except as Franchisee has otherwise completely and accurately disclosed in writing to Franchisor in connection with obtaining the rights granted hereunder; and (c) the execution and performance of this Agreement will not violate any other agreement to which Franchisee or any of its Owners may be bound.
Franchisee recognizes that Franchisor has executed this Agreement in reliance on all of the statements Franchisee and its Owners have made in writing in connection with this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the franchisor relies on the written statements made by the franchisee and their owners when entering into the Franchise Agreement. Specifically, Face Foundrie requires that neither the franchisee nor their owners make any untrue statements or omit any material facts in the written information they submit during the process of obtaining franchise rights. They must also disclose any direct or indirect interest in any competitive beauty-related businesses. Additionally, the franchisee must ensure that entering into the Face Foundrie agreement does not violate any other agreements they may be bound by.
This reliance is explicitly stated in the Franchise Agreement, meaning that Face Foundrie makes decisions and grants franchise rights based on the accuracy and completeness of the information provided by the franchisee. This underscores the importance of honesty and transparency during the application and agreement process. Any misrepresentation or omission could have serious consequences.
For a prospective Face Foundrie franchisee, this means that all information provided to the franchisor must be accurate and complete. Failure to disclose relevant information or providing false statements could lead to the termination of the Franchise Agreement. Franchisees should carefully review all submitted documents and ensure they are truthful and comprehensive to avoid potential legal issues and maintain a good relationship with Face Foundrie.