Does the Nothing Bundt Cakes Franchise Agreement include a State Specific Addendum?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT J TO THE DISCLOSURE DOCUMENT FRANCHISEE DISCLOSURE ACKNOWLEDGMENT STATEMENT
THIS ACKNOWLEDGEMENT SHALL NOT BE COMPLETED BY YOU, AND WILL NOT APPLY, IF THE OFFER OR SALE OF THE FRANCHISE IS SUBJECT TO THE STATE FRANCHISE DISCLOSURE LAWS IN THE STATES OF CALIFORNIA, HAWAII, ILLINOIS, INDIANA, MARYLAND, MICHIGAN, MINNESOTA, NEW YORK, NORTH DAKOTA, RHODE ISLAND, SOUTH DAKOTA, VIRGINIA, WASHINGTON, OR WISCONSIN.
THIS ACKNOWLEDGEMENT SHALL NOT BE COMPLETED BY YOU, AND WILL NOT APPLY, IF THE FRANCHISE IS TO BE OPERATED IN, OR IF YOU ARE A RESIDENT OF, CALIFORNIA OR MARYLAND.
Source: Item 23 — RECEIPTS (FDD pages 93–309)
What This Means (2025 FDD)
According to the 2025 Nothing Bundt Cakes Franchise Disclosure Document, the Franchisee Disclosure Acknowledgment Statement, included as Exhibit J, specifies that it should not be completed if the franchise is offered or sold in states with franchise disclosure laws, including California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin. This indicates that state-specific addenda or modifications to the standard agreement may be required to comply with these states' franchise laws.
Furthermore, the acknowledgment explicitly states that it does not apply if the franchise is to be operated in, or if the franchisee is a resident of, California or Maryland. This suggests that franchisees in California and Maryland may receive different or additional documentation as part of their franchise agreement, potentially in the form of state-specific addenda, to address specific legal requirements in those states.
Prospective franchisees should carefully review the Franchise Agreement and any accompanying exhibits or addenda to understand how state laws may affect their rights and obligations. It is advisable to consult with a franchise attorney to ensure full compliance with all applicable state regulations and to clarify any questions regarding state-specific requirements.