What is the effect of a statement signed by the Focus Cfo franchisee in connection with the commencement of the franchise relationship?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
- 16.5.4.
No statement, questionnaire, or acknowledgment signed or agreed to herein by 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 Focus CFO, franchise seller, or other person acting on behalf of Focus CFO.
This provision supersedes any other term of any document executed in connection with the Franchise.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, any statement, questionnaire, or acknowledgment signed by the franchisee related to starting the franchise does not waive claims under state franchise law, including claims of fraud. It also does not disclaim reliance on statements made by Focus Cfo or its representatives. This protection overrides any other conflicting terms in any document signed in connection with the franchise agreement.
This provision is highly favorable for the franchisee. It ensures that Focus Cfo franchisees retain their legal rights and recourse, even after signing documents related to the franchise commencement. This means a franchisee can still pursue legal action if they believe they were misled or defrauded, regardless of any statements they may have signed.
This type of clause is not universally included in franchise agreements. Some franchisors may attempt to include language that limits a franchisee's ability to sue or make claims. Therefore, it is important for prospective franchisees to carefully review the entire franchise agreement and understand their rights before signing any documents. This protection offered by Focus Cfo provides an additional layer of security for the franchisee.