What is the significance of the date on the Gokhale Method Franchise Disclosure Document?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
This Disclosure Document summarizes certain provisions of the franchise agreement and other information in plain language. Read this disclosure document and all agreements carefully.
If Gokhale Method Institute, Inc. offers you a franchise, it must provide this Disclosure Document to you 14 calendar days before you sign a binding agreement with, or make a payment to, the franchisor or an affiliate in connection with the proposed franchise sale or grant.
If Gokhale Method Institute, Inc. does not deliver this Disclosure Document on time or if it contains a false or misleading statement, or a material omission, a violation of federal law and state law may have occurred and should be reported to the Federal Trade Commission, Washington, D.C. 20580 and appropriate state agency listed in Exhibit "H". Gokhale Method Institute, Inc.'s registered agent authorized to receive service of process is Esther Gokhale, Gokhale Method Institute, Inc., 3790 El Camino Real, #1033, Palo Alto, CA 94306.
New York law requires a franchisor to provide the Franchise Disclosure Document at the earlier of the first personal meeting or ten (10) business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship.
The name, principal business address and telephone number of each franchise seller offering the franchise are:
Esther Gokhale Gokhale Method Institute, Inc. 3790 El Camino Real, #1033 Palo Alto, CA 94306
Date of Issuance: May 15, 2024
I received a disclosure document dated May 15, 2024 that included the following Exhibits:
- A. Gokhale Method Franchise Agreement
- Exhibit A Franchise Fee Schedule and Price List
- Exhibit B Approved Formats
- Exhibit C Personal Guarantee
- Exhibit D State Amendments
- B. Table of Contents of Teachers' Manual
- C. Financial Statements
- D. List of Franchisees
- E. List of Franchisees who have left the system
- F. List of State Agencies
- G. State Addenda to the Disclosure Document
- H. Receipt
Source: Item 23 — RECEIPTS (FDD pages 34–122)
What This Means (2024 FDD)
The date of issuance on the Gokhale Method's 2024 Franchise Disclosure Document (FDD) is May 15, 2024. This date is significant because it marks the starting point for a prospective franchisee's due diligence period. Gokhale Method must provide the FDD to a potential franchisee at least 14 calendar days before they sign a binding agreement or make any payment related to the franchise. This waiting period allows the franchisee to thoroughly review the document and seek professional advice.
Federal and state laws mandate this disclosure period to protect potential franchisees. If Gokhale Method fails to deliver the FDD on time, or if the document contains false, misleading, or omits material information, it could be a violation of federal and state laws. In such cases, the potential franchisee can report this to the Federal Trade Commission (FTC) and the appropriate state agency.
New York law has a stricter requirement, mandating that Gokhale Method provide the FDD at the earlier of the first personal meeting or ten business days before the execution of any agreement or payment of any consideration related to the franchise relationship. This ensures that prospective franchisees in New York have ample time to review the document before making any commitments.
Therefore, the date of the FDD is crucial for ensuring that Gokhale Method complies with franchise disclosure laws and that prospective franchisees have sufficient time to make informed decisions. The FDD includes various exhibits, such as the Franchise Agreement, financial statements, and lists of current and former franchisees, which are essential for a potential franchisee's evaluation of the opportunity.