factual

Can a franchisee disclaim reliance on any statement made by the franchisor by signing a statement, questionnaire, or acknowledgement in connection with the Flowerama franchise?

Flowerama Franchise · 2024 FDD

Answer from 2024 FDD Document

No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of franchisor. This provision supersedes any other term of any document executed in connection with the franchise.

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 72–77)

What This Means (2024 FDD)

According to Flowerama's 2024 Franchise Disclosure Document, a franchisee cannot disclaim reliance on statements made by Flowerama, its franchise sellers, or anyone acting on Flowerama's behalf by signing a statement, questionnaire, or acknowledgement when starting the franchise relationship. This protection extends to claims under applicable state franchise laws, including those related to fraud in the inducement. This means that even if a franchisee signs a document that seems to waive their right to rely on previous statements, that waiver will not be legally effective. This provision takes precedence over any conflicting terms in any document related to the franchise agreement.

This safeguard ensures that prospective Flowerama franchisees are not pressured into relinquishing their legal rights based on information provided during the franchise sales process. It protects franchisees from potentially misleading or fraudulent statements made by Flowerama or its representatives. The FDD emphasizes that no document signed at the commencement of the franchise can waive claims related to fraud or misrepresentation.

This type of clause is included in franchise agreements to protect franchisees and ensure transparency in the franchise sales process. It prevents franchisors from using waivers to shield themselves from liability for inaccurate or misleading statements. Prospective franchisees should carefully review all documents and disclosures provided by Flowerama and consult with an attorney to understand their rights and obligations under the franchise agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.