Does the Fat Shack franchise agreement rider disclaim any representations made in the most recent franchise disclosure document?
Fat_Shack Franchise · 2025 FDDAnswer from 2025 FDD Document
This Agreement contains the entire agreement between the parties and supersedes any and all prior agreements concerning the subject matter hereof. Franchisee agrees and understands that FSI shall not be liable or obligated for any oral representations or commitments made prior to the execution hereof or for claims of negligent or fraudulent misrepresentation and that no modifications of this Agreement shall be effective except those in writing and signed by both parties. FSI does not authorize and will not be bound by any representation of any nature other than those expressed in this Agreement. Franchisee further acknowledges and agrees that no representations have been made to it by FSI regarding projected sales volumes, market potential, revenues, profits of Franchisee's Restaurant, or operational assistance other than as stated in this Agreement or in any Franchise Disclosure Document provided by FSI or its representatives. Any policies that FSI adopts and implements from time to time are subject to change, are not a part of this Agreement, and are not binding on FSI. Nothing in this Agreement or in any related agreement is intended to disclaim any representations made by FSI in the Franchise Disclosure Document provided to Franchisee.
Source: Item 23 — Receipts (FDD pages 53–223)
What This Means (2025 FDD)
According to the 2025 Fat Shack Franchise Disclosure Document, the franchise agreement contains provisions addressing prior representations. Specifically, the agreement states that Fat Shack is not liable for any oral representations or commitments made before the agreement's execution, or for claims of negligent or fraudulent misrepresentation. It also specifies that modifications to the agreement are only effective if they are in writing and signed by both parties. Fat Shack does not authorize and will not be bound by any representation of any nature other than those expressed in the agreement.
Furthermore, the agreement explicitly states that no representations have been made by Fat Shack regarding projected sales volumes, market potential, revenues, or profits of the franchisee's restaurant, or operational assistance, except as stated in the agreement or in any Franchise Disclosure Document provided by Fat Shack or its representatives. This clause clarifies that any projections or assistance claims not documented in the agreement or the FDD are not binding on Fat Shack.
Importantly, the Fat Shack franchise agreement clarifies that nothing within the agreement or any related document is intended to disclaim representations made by Fat Shack in the Franchise Disclosure Document provided to the franchisee. This means that while prior oral or undocumented representations are not binding, the representations within the FDD itself remain valid and are not disclaimed by the franchise agreement.