Does Flowerama require franchisees to consult with advisors before entering into the addendum?
Flowerama Franchise · 2024 FDDAnswer from 2024 FDD Document
- b. Consultation with Advisors. Franchisee acknowledges that Franchisee has carefully read this Addendum and all other related documents to be executed concurrently or in conjunction with the execution hereof, that Franchisee has obtained the advice of counsel in connection with entering into this Addendum, that Franchisee understands the nature of this Addendum, and that Franchisee intends to comply herewith and be bound hereby. Franchisee acknowledges that it has read and understood this Addendum and agreements relating thereto, and that Franchisor has accorded Franchisee ample time and opportunity to consult with advisors of Franchisee's own choosing about the potential benefits and risks of entering into this Addendum.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 72–77)
What This Means (2024 FDD)
According to Flowerama's 2024 Franchise Disclosure Document, while not explicitly required, Flowerama emphasizes the importance of franchisees seeking advice from legal and financial advisors before entering into the Co-Brand Addendum. The FDD states that the franchisee acknowledges they have carefully read the addendum and related documents, obtained advice of counsel, understand the nature of the addendum, and intend to comply with its terms.
Flowerama also acknowledges that it has accorded the franchisee ample time and opportunity to consult with advisors of their own choosing about the potential benefits and risks of entering into the Addendum. This suggests that Flowerama highly recommends that franchisees seek external counsel to fully understand the implications of the addendum before signing.
While Flowerama does not mandate consultation with advisors, the language in the addendum strongly encourages franchisees to seek independent legal and financial advice. This protects both the franchisee and Flowerama by ensuring the franchisee is fully informed and understands the agreement they are entering.