factual

What will Kitchen Solvers do if a franchisee in California executes the Franchisee Acknowledgment/Compliance Questionnaire?

Kitchen_Solvers Franchise · 2025 FDD

Answer from 2025 FDD Document

The Franchisor will not require you to execute the Franchise Acknowledgement/Compliance Certification that is attached to the Franchise Agreement. If you do execute the Franchisee Acknowledgment/Compliance Questionnaire, we will disregard it and not rely on it.

Section 16(I) of the Franchise Agreement requires the franchisee to consent to a waiver of exemplary and punitive damages. This Section is hereby amended with the following language:

Provisions requiring the franchisee to consent to a waiver of exemplary and punitive damages are in violation of California Corporations Code section 31521.

All representations requiring prospective franchisees to assent to a release, estoppel or waiver of liability are not intended to nor shall they act as a release, estoppel or waiver of any liability incurred under the California Corporations Code section 31201 and 31521.

Nothing in the Franchise Agreement prevents the franchisee from bringing a lawsuit in California for claims arising under the California Corporations Code section 31201 and 31521.

Source: Item 23 — Receipts (FDD pages 49–190)

What This Means (2025 FDD)

According to the 2025 Kitchen Solvers Franchise Disclosure Document, Kitchen Solvers will disregard the Franchisee Acknowledgment/Compliance Questionnaire and will not rely on it if a franchisee in California executes it.

This means that even if a franchisee signs the questionnaire, Kitchen Solvers will not use it against them in any way. This could be beneficial for franchisees as it ensures that they are not held accountable for statements made in the questionnaire.

Additionally, the FDD states that provisions requiring a franchisee to waive exemplary and punitive damages are in violation of California Corporations Code section 31521. It also clarifies that representations requiring prospective franchisees to assent to a release, estoppel, or waiver of liability do not act as a release, estoppel, or waiver of any liability incurred under the California Corporations Code section 31201 and 31521. Furthermore, the Franchise Agreement does not prevent a franchisee from bringing a lawsuit in California for claims arising under the California Corporations Code section 31201 and 31521. These stipulations protect the franchisee's rights under California law, ensuring they are not unknowingly waiving their legal protections.

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.