factual

For how long are the anti-terrorism representations and warranties 'continuing' for Itan franchisees?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

Laws currently in effect, or enacted in the future, that prohibit corrupt business practices, money laundering or the aid or support of Persons who conspire to commit acts of terror against any Person or government.

The foregoing representations and warranties are 'continuing' representations and warranties for the duration of the franchise relationship.

Accordingly, you must immediately notify us of the occurrence of an event or development of a circumstance that might render any of the foregoing representations and warranties false, inaccurate or misleading.

Source: Item 23 — RECEIPT (FDD pages 44–190)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, the anti-terrorism representations and warranties are 'continuing' for the duration of the franchise relationship. This means that throughout the entire time a franchisee operates under the Itan brand, they must adhere to and uphold these representations and warranties.

Specifically, the franchisee and any owners must represent and warrant that they are in compliance with Anti-Terrorism Laws and other U.S. laws that prohibit corrupt business practices, money laundering, or support for those who conspire to commit acts of terror. They must also warrant that no property they own is subject to being "blocked" under any Anti-Terrorism Law, and that they are not identified on any Terrorist List.

Furthermore, the franchisee has an ongoing duty to inform Itan immediately if any event or circumstance occurs that could render these representations and warranties false, inaccurate, or misleading. This places a significant responsibility on the franchisee to remain vigilant and proactive in ensuring continued compliance throughout the term of the franchise agreement. This type of clause is not uncommon in franchise agreements, as franchisors seek to protect their brand and reputation from any association with illegal or unethical activities.

Disclaimer: This information is extracted from the 2025 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.