For Mrcool, is the first Center Franchise Agreement signed simultaneously with the Multi-Unit Development Agreement the same as the Franchise Agreement attached to the Disclosure Document as Exhibit E?
Mrcool Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless otherwise specified, the information contained in this Disclosure Document applies to single unit development under a Franchise Agreement and multi-unit development under a Multi-Unit Development Agreement. If you are not contracting for the right to develop multiple Centers, you will not be signing a Multi-Unit Development Agreement. Even if you sign a Multi-Unit Development Agreement, you will also be signing individual Center Franchise Agreements with the first Center Franchise Agreement being the Franchise Agreement attached to this Disclosure Document as Exhibit E and signed simultaneous with the signing of the Multi-Unit Development Agreement.
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 8–10)
What This Means (2025 FDD)
According to Mrcool's 2025 Franchise Disclosure Document, if a franchisee signs a Multi-Unit Development Agreement, they will also sign individual Center Franchise Agreements. The first Center Franchise Agreement is the same as the Franchise Agreement attached to the Disclosure Document as Exhibit E. This agreement is signed simultaneously with the signing of the Multi-Unit Development Agreement.
For a prospective Mrcool franchisee, this means that if they are planning to open multiple locations, they will sign two agreements at the same time: the Multi-Unit Development Agreement, which outlines the schedule and territory for opening multiple Mrcool centers, and the standard Franchise Agreement (Exhibit E), which governs the operation of their first center.
It is important to note that while the initial Franchise Agreement is the standard form, future individual unit Franchise Agreements under the Multi-Unit Development Agreement may differ from Exhibit E. Therefore, franchisees should carefully review both the Multi-Unit Development Agreement and the Franchise Agreement (Exhibit E) to understand their obligations and rights for the first center and subsequent locations.