Are there agreements attached to the Ledgers Disclosure Document that I should read?
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.
THE CALIFORNIA FRANCHISE INVESTMENT LAW REQUIRES THAT A COPY OF ALL PROPOSED AGREEMENTS RELATING TO THE SALE OF THE FRANCHISE BE DELIVERED TOGETHER WITH THE DISCLOSURE DOCUMENT.
EXHIBIT B-FRANCHISE AGREEMENT
SUMMARY PAGE 1. Franchisee Business Entity 2. Initial Franchise Fee $ 3. Territory Name 4. Opening Deadline 5. Principal Executive 6. Franchisee's Address 7. Outlet #
TABLE OF CONTENTS
- Scope 2 2. 3. Duties of Franchisor 4. anchisee 5. Property 6. ity 7. Transfer .15 8. Termination .17 9. Dispute Res olution .20 10. General .22 Schedu les Ç, Schedule 1 Schedule 2 Territory Automatic Bank Draft Authorization Ç, Schedule 3 Schedule 4 Schedule 5 Schedule 6 Telephone Number Assignment Lease Rider Release State Addenda to the Franchise Agreement
Franchise Agreement
Single Unit
This contract ("Agreement") is between Loyalty Business Services LLC d/b/a Ledgers ("Franchisor", "we", "us", or "our") and the entity and all Signators identified on the signature page, in your personal capacity, (collectively "Franchisee", "you", or "your").
This Agreement will commence upon its Effective Date and will last for a term of ten (10) years (the "Term").
You must sign a general release if you renew or transfer your franchise.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 38–41)
What This Means (2025 FDD)
According to the 2025 Ledgers Franchise Disclosure Document, several agreements and addenda are attached that a prospective franchisee should carefully review. Exhibit A includes state addenda to the disclosure document and franchise agreement, which may modify certain portions of the franchise agreement based on applicable state law, specifically for franchisees residing or operating in Michigan, California, Illinois, Indiana, Maryland, Minnesota, New York, Rhode Island, Virginia, or Wisconsin. For California franchisees, the California Franchise Investment Law dictates that all proposed agreements relating to the sale of the franchise must be delivered with the disclosure document.
Exhibit B is the Franchise Agreement itself, which outlines the contractual relationship between Ledgers and the franchisee. This agreement includes schedules such as Schedule 1, which defines the franchisee's territory, and Schedule 2, which covers automatic bank draft authorization. Additionally, there may be schedules for telephone number assignments, lease riders, and releases.
The Franchise Agreement also contains standard clauses, such as those addressing the scope of the franchise relationship, the term and renewal of the agreement (typically a 10-year term), and general provisions. It is important to note that franchisees may be asked to sign a general release when renewing or transferring their franchise. These agreements and addenda are crucial for understanding the full scope of the franchisee's obligations, rights, and the overall legal framework governing the Ledgers franchise.