What is the franchisee acknowledging regarding warranties in the Pearce Bespoke franchise agreement?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
ledges that the Franchise Agreement contains all oral and written agreements, representations and arrangements between the parties hereto, and any rights which the respective parties hereto may have had under any other previous contracts are hereby cancelled and terminated, and that this Agreement cannot be changed or terminated orally.
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- Franchisee has no knowledge of any representations by Franchisor or its officers, directors, shareholders, employees, sales representatives, agents or servants, about the business contemplated by the Franchise
Agreement that are contrary to the terms of the Franchise Agreement or the documents incorporated herein. Franchisee acknowledges that no representations or warranties are made or implied, except as specifically set forth in the Franchise Agreement. Franchisee represents, as an inducement to Franchisor's entry into this Agreement, that it has made no misrepresentations in obtaining the Franchise Agreement.
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- Franchisor expressly disclaims the making of, and Franchisee acknowledges that it has not received or relied upon, any warranty or guarantee, express or implied, as to the potential volume, profits or success of the business venture contemplated by the Franchise Agreement.
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6.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke Franchise Disclosure Document, a prospective franchisee acknowledges several key points regarding warranties. Specifically, the franchisee acknowledges that no representations or warranties are made or implied by Pearce Bespoke, except as explicitly stated in the Franchise Agreement. This means Pearce Bespoke is not providing any guarantees about the potential success, volume, or profits of the business venture beyond what is written in the agreement.
Furthermore, the franchisee acknowledges that Pearce Bespoke's approval or acceptance of the business location does not constitute a warranty, recommendation, or endorsement of that location. This means that Pearce Bespoke is not assuring the franchisee that the chosen location will be successful or profitable. The franchisee is taking on the risk that the location may not perform as expected, even if Pearce Bespoke has approved it.
In essence, Pearce Bespoke is making it clear that the success of the franchise depends largely on the franchisee's abilities and efforts as an independent business operator. The franchisee is acknowledging that they are not relying on any implied warranties or guarantees from Pearce Bespoke regarding the potential performance of the franchise. This is a common practice in franchising, where the franchisee is expected to conduct their own due diligence and assume responsibility for the success of their individual business.