If a Face Foundrie franchise is to be operated in Maryland, is the Franchisee Acknowledgement supposed to be signed?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
THIS DOCUMENT SHALL NOT BE SIGNED BY YOU, AND WILL NOT APPLY, IF THE OFFER OR SALE OF THE FRANCHISE IS SUBJECT TO THE STATE FRANCHISE REGISTRATION/DISCLOSURE LAWS IN THE STATES OF CALIFORNIA, HAWAII, ILLINOIS, INDIANA, MARYLAND, MICHIGAN, MINNESOTA, NEW YORK, NORTH DAKOTA, RHODE ISLAND, SOUTH DAKOTA, VIRGINIA, WASHINGTON, OR WISCONSIN.
DO NOT SIGN THE ACKNOWLEDGEMENT IF THE FRANCHISE IS TO BE OPERATED IN, OR YOU ARE A RESIDENT OF, MARYLAND.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to the 2025 Face Foundrie Franchise Disclosure Document, the Franchisee Acknowledgement should NOT be signed if the franchise is to be operated in Maryland. The document explicitly states that this acknowledgement is not applicable in states with franchise registration/disclosure laws, including Maryland.
This instruction is crucial for prospective franchisees in Maryland because signing the acknowledgement when it's not required could potentially create legal complications or misunderstandings regarding the franchisee's rights and obligations. The Face Foundrie franchise agreement is designed to comply with Maryland's specific franchise laws, and the acknowledgement is deemed unnecessary due to these protections.
Furthermore, Face Foundrie provides an addendum to the franchise agreement specifically for locations in Maryland. This addendum modifies certain sections of the standard agreement to ensure compliance with Maryland law, covering aspects such as releases, insolvency, forum for litigation, governing law, and limitation of claims. This addendum highlights the importance of adhering to the specific regulations of the state when operating a Face Foundrie franchise in Maryland.