Does the Monicals Pizza franchise agreement require the franchisee to acknowledge that the franchisor is relying on the truthfulness of the information provided by the franchisee?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
24.3 True and Accurate Information
Franchisee represents that all information set forth in any and all applications, financial statements and submissions to Franchisor is true, complete and accurate in all respects, and Franchisee acknowledges that Franchisor is relying upon the truthfulness, completeness and accuracy of such information.
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to the 2025 Monicals Pizza Franchise Disclosure Document, the franchise agreement stipulates that the franchisee must acknowledge the franchisor's reliance on the accuracy of the information provided. Specifically, the franchisee represents that all information submitted to Monicals Pizza is true, complete, and accurate.
This provision means that Monicals Pizza uses the information provided by the franchisee in the application, financial statements, and other submissions to make decisions about awarding a franchise. If the information is later found to be false or misleading, it could have legal consequences for the franchisee.
This type of clause is standard in franchise agreements. It protects the franchisor by ensuring they can rely on the information provided by potential franchisees when making important decisions. Prospective Monicals Pizza franchisees should ensure that all information they provide to the franchisor is accurate and complete to avoid potential issues later on.