What is the consequence if the Kidokinetics disclosure document contains a false or misleading statement?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
If Kidokinetics Franchise LLC 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 the appropriate state agency identified on Exhibit A.
Source: Item 23 — RECEIPT (FDD pages 59–205)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, if the document contains a false or misleading statement or a material omission, it may constitute a violation of both federal and state law.
This means that a prospective Kidokinetics franchisee who relies on the FDD to make their investment decision could potentially have legal recourse against Kidokinetics if the information provided is inaccurate or incomplete. The franchisee is advised to report such instances to the Federal Trade Commission (FTC) in Washington, D.C., as well as to the appropriate state agency, which is identified in Exhibit A of the FDD.
This disclosure serves as a warning to both the franchisor and the franchisee. Kidokinetics must ensure the accuracy and completeness of its FDD, and the franchisee must carefully review the document and report any discrepancies or concerns to the appropriate authorities. This measure aims to protect franchisees from making investment decisions based on false information and ensures compliance with franchise laws.