What is the Fitstop franchisee affirming when entering into the agreement?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
Section 21: Franchisee Representations and Acknowledgements
You, on behalf of yourself and your Franchise Owners, hereby represent, warrant and convey as follows to Franchisor:
- 21.1 You have all the requisite power and authority to operate the Franchised Business, and are duly licensed and qualified to transact business as a foreign entity in all jurisdictions in which the nature of the business it conducts makes such qualification as a foreign entity necessary.
- 21.2 You shall diligently and fully exploit the rights granted in this Franchise by personally devoting full time and best efforts and, in the case that more than one individual has executed this Franchise as the franchisee, then you shall personally devote full time and best efforts to the operation of the Franchise.You shall keep free from conflicting enterprises or any other activities which would be detrimental to or interfere with the business.
- 21.3 You acknowledge that neither we nor anyone purporting to act for us has made any promises or representations concerning the sales volumes which your Franchise will produce, the profits you will make, your likelihood of success, or any other matter in connection with the proposed Franchise other than those which the Parties set forth in this Agreement and any signed amendments or exhibits or schedules hereto. If we or any of our agents have made such promises, you must ensure that they are set forth in writing in this Agreement or in an amendment, schedule, or exhibit to this Agreement and that we and you sign any such amendment or exhibit. We, in granting this Franchise, are relying on you to see that the Parties reduce to writing all such matters and attach the documentation that describes those representations to this Agreement and to which you considered material to your solicitation. If you do not reduce such representations to writing and attach those documents to this Agreement, you agree that you will not be able to rely in any way on such promises or representations and we will not be bound by them. YOU MUST ENSURE THAT ALL PROMISES AND REPRESENTATIONS FOR PRESENT AND FUTURE RESULTS AND RIGHTS, WHETHER ABSOLUTE OR CONTINGENT, ARE CONTAINED IN THE FRANCHISE AGREEMENT OR THEY MAY BE FOREVER LOST.
- ©2024 Fitstop USA, Inc. 21.4 This Agreement awards the right to open a single Franchised Business within the Designated Territory detailed in Schedule 2 to this Agreement and, except for the territorial rights descirbed
in Section 2.2 hereof, nothing in this Agreement grants any kind of "exclusive," "protected," or other territorial rights in any contiguous or other geographical area.
21.5 You acknowledge and agrees that your name, address, and telephone number will be disclosed, as required by law, in our then-current form of Franchise Disclosure Document (or "FDD") during the term of this Agreement and for one (1) or more years following this Agreement's termination, non-renewal, or transfer.
21.6 This Agreement (a) supersedes any and all other agreements and representations with respect to the Franchise rights and Franchised Business, and (b) contains all the terms, conditions, and obligations of the parties with respect to the grant of this Franchise.
Nothing in this Agreement or in any related agreement is intended to disclaim the representations made in the Franchise Disclosure Document timely disclosed to Franchisee (or its Franchise Owners) prior to the execution of this Agreement (the "Applicable FDD").
- 21.7 You hereby represent that you have received a copy of this Agreement and our current form of Applicable FDD, have read and understand all obligations being undertaken, and have had an opportunity to consult with an attorney with respect thereto at least 14 calendar days prior to execution.
You agree and affirm that we have not represented you in negotiating this Agreement and that you enter into this Agreement freely, without duress or coercion, and based on your own judgment and wishes.
- 21.8 The Franchise and other rights offered and awarded under this Agreement is being offered solely to you (as the Franchisee hereunder) based on the representations and information made by you and your Franchise Owners (Principals) identified in Schedule 1 hereto, which we materially relief upon in entering into this Agremeent and awarding such rights.
As such, this Agreement or the rights contemplated herein may not be accepted by any other person, partnership, or corporation, or transferred by assignment, will, or operation of law.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, franchisees make several representations and acknowledgements when entering into the franchise agreement. These include confirming that they possess the necessary power and authority to operate the franchised business and are appropriately licensed and qualified in all relevant jurisdictions. Franchisees also commit to diligently and fully exploiting the rights granted in the franchise agreement, dedicating their full time and best efforts to the operation of the Fitstop franchise, and avoiding any conflicting enterprises.
Furthermore, the franchisee acknowledges that Fitstop has not made any promises or representations concerning potential sales volumes, profits, or likelihood of success, except as explicitly stated in the franchise agreement and any signed amendments. It is the franchisee's responsibility to ensure that all promises and representations are documented in writing within the agreement to be considered valid. The franchisee also acknowledges that Fitstop will disclose their name, address, and telephone number in their Franchise Disclosure Document during the term of the agreement and for at least one year following termination, non-renewal, or transfer.
Additionally, the franchisee agrees that the franchise agreement supersedes all prior agreements and contains all the terms, conditions, and obligations of the parties. They represent that they have received a copy of the agreement and the current Franchise Disclosure Document, have read and understand all obligations, and have had the opportunity to consult with an attorney at least 14 calendar days prior to execution. The franchisee affirms that they enter into the agreement freely, without duress or coercion, and based on their own judgment and wishes. Finally, the franchisee acknowledges that the franchise is offered solely to them based on their representations and information, which Fitstop relies upon in awarding the franchise rights.