Which exhibit contains the state addendum for Ledgers?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT A
STATE ADDENDA TO THE DISCLOSURE DOCUMENT AND FRANCHISE AGREEMENT
The following modifications are to Loyalty Business Services LLC d/b/a Ledgers Franchise Disclosure Document and may supersede, to the extent then required by valid applicable state law, certain portions of the Franchise Agreement dated The provisions of this State Law Addendum to Franchise Disclosure Document and Franchise Agreement ("State Addendum") apply only to those persons residing or operating a Ledgers Franchised Business in the following states: Michigan, California, Illinois, Indiana, Maryland, Minnesota, New York, Rhode Island, Virginia, or Wisconsin.
CALIFORNIA
As to franchises governed by the California Franchise Investment Law, if any of the terms of the Disclosure Document are inconsistent with the terms below, the terms below control.
California Business and Professions Code Sections 20000 through 20043 provide rights to you concerning termination, transfer or non-renewal of a franchise. If the Franchise Agreement or Agreement contains provisions that are inconsistent with the law, the law will control.
The Franchise Agreement provide for termination upon bankruptcy. This provision may not be enforceable under Federal Bankruptcy Law (11 U.S.C.A. Sec. 101 et seq.).
The Franchise Agreement contain covenants not to compete which extend beyond the termination of the agreements. These provisions may not be enforceable under California law.
Section 31125 of the California Corporation Code requires the franchisor to provide you with a disclosure document before asking you to agree to a material modification of an existing franchise.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the state addendum is found in Exhibit A. This addendum modifies the Ledgers Franchise Disclosure Document and may supersede certain portions of the Franchise Agreement to the extent required by applicable state law. The State Law Addendum applies to individuals residing or operating a Ledgers franchise in Michigan, California, Illinois, Indiana, Maryland, Minnesota, New York, Rhode Island, Virginia, or Wisconsin.
For prospective franchisees, this means that the standard franchise agreement may have specific modifications based on the state in which they operate their Ledgers franchise. For example, the California Business and Professions Code provides certain rights concerning termination, transfer, or non-renewal of a franchise, and these rights will supersede any conflicting terms in the Disclosure Document. Similarly, the enforceability of provisions related to termination upon bankruptcy and covenants not to compete may be subject to California law.
It is important for franchisees to carefully review Exhibit A to understand how their state's laws affect the terms and conditions of their franchise agreement. This ensures compliance with local regulations and awareness of any specific rights or obligations that may differ from the standard agreement. Franchisees in Washington should also note that a separate Washington Addendum applies to them.