Are Mrcool franchisees required to assist Franchisor in complying with Anti-Terrorism Laws?
Mrcool Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor's standards and specifications. Franchisee shall refrain from any business practice, advertising practice, or personal conduct that may be injurious to Franchisor, the System, MRCOOL Centers, and the Licensed Marks. Franchisor, in Franchisor's sole discretion, shall possess, among other things, the unilateral right to reject any and all advertising relating to the Franchised Business, Franchisor, the System, MRCOOL Centers and/or using the Licensed Marks.
- (6) Franchisee and Owners agree to comply with, and/or to assist Franchisor to the fullest extent possible in Franchisor's efforts to comply with Anti-Terrorism Laws (as defined below). In connection with such compliance, Franchisee and each Owner certify, represent, and warrant that Franchisee's or any Owner's property or interests is not subject to being "blocked" under any of the Anti-Terrorism Laws, and Franchisee and each Owner are not otherwise in violation of any of the Anti-Terrorism Laws. Franchisee further certifies that Franchisee and each Owner are not listed on the Annex to Executive Order 13244 (the Annex is available at http://www.treasury.gov) and will not become so listed, hire any person so listed, or have dealings with any person so listed. Franchisee agrees to immediately notify Franchisor if Franchisee or any Owner become so listed. "Anti-Terrorism Laws" refers to and means Executive Order 13224 issued by the President of the United States, the USA PATRIOT Act, and all other present and future federal, state and local laws, ordinances, regulations, policies, lists and any other requirements of any governmental authority addressing, or in any way relating to, terrorist acts and acts of war. If Franchisee, an Owner, or Franchisee's employees violate any of the Anti-Terrorism Laws and/or become listed on the Annex
to Executive Order 13244, then Franchisor may terminate this Agreement immediately without prior notice to Franchisee.
In connection with Franchisee's compliance with the terms of this Article 7.I., if Franchisee discovers, learns of, and/or becomes aware of any conflict and/or discrepancy between Franchisee's obligations under this Article 7.I. with Franchisor's standards and/or specifications as contained in this Agreement, in the Operations Manual, and/or as otherwise designated by Franchisor from time to time, Franchisee shall immediately notify Franchisor in writing of such discrepancy. In the event of any conflict or ambiguity, Franchisor's determination and/or resolution made by Franchisor, in writing, and, specifically with regard to the presented conflict or ambiguity, shall be determinative as between Franchisor and Franchisee and the operations of the Franchised Business.
**7.J.
Source: Item 23 — RECEIPTS (FDD pages 55–263)
What This Means (2025 FDD)
According to Mrcool's 2025 Franchise Disclosure Document, franchisees and their owners must comply with and assist Mrcool in complying with Anti-Terrorism Laws. Franchisees and owners must certify that their property or interests are not subject to being "blocked" under any Anti-Terrorism Laws and that they are not in violation of any Anti-Terrorism Laws. They must also certify that they are not listed on the Annex to Executive Order 13244, will not become listed, hire anyone listed, or have dealings with anyone listed.
The term "Anti-Terrorism Laws" includes Executive Order 13224, the USA PATRIOT Act, and all other federal, state, and local laws, ordinances, regulations, policies, lists, and requirements related to terrorist acts and acts of war. Franchisees must immediately notify Mrcool if they or any owner become listed on the Annex to Executive Order 13244.
If a franchisee, owner, or employee violates any Anti-Terrorism Laws or becomes listed on the Annex to Executive Order 13244, Mrcool can terminate the Franchise Agreement immediately without prior notice. Franchisees must also report any conflicts or discrepancies between their obligations under this clause and Mrcool's standards or specifications.