Has any party associated with Pearce Bespoke been convicted of a felony?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
- The following is added at the end of Item 3:
Except as provided above, with regard to the franchisor, its predecessor, a person identified in Item 2, or an affiliate offering franchises under the franchisor's principal trademark:
- A. No such party has an administrative, criminal or civil action pending against that person alleging: a felony, a violation of a franchise, antitrust, or securities law, fraud, embezzlement, fraudulent conversion, misappropriation of property, unfair or deceptive practices, or comparable civil or misdemeanor allegations.
- B. No such party has pending actions, other than routine litigation incidental to the business, which are significant in the context of the number of franchisees and the size, nature or financial condition of the franchise system or its business operations.
- C. No such party has been convicted of a felony or pleaded nolo contendere to a felony charge or, within the 10 year period immediately preceding the application for registration, has been convicted of or pleaded nolo contendere to a misdemeanor charge or has been the subject of a civil action alleging: violation of a franchise, antifraud, or securities law; fraud; embezzlement; fraudulent conversion or misappropriation of property; or unfair or deceptive practices or comparable allegations.
- D. No such party is subject to a currently effective injunctive or restrictive order or decree relating to the franchise, or under a Federal, State, or Canadian franchise, securities, antitrust, trade regulation or trade practice law, resulting from a concluded or pending action or proceeding brought by a public agency; or is subject
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke Franchise Disclosure Document, Item 22 includes an addendum to Item 3 that addresses legal actions. Specifically, it states that no party associated with Pearce Bespoke, including the franchisor, its predecessors, individuals identified in Item 2, or affiliates offering franchises under the Pearce Bespoke trademark, has been convicted of a felony or pleaded nolo contendere to a felony charge. This statement applies unless otherwise provided in the FDD.
Additionally, the document states that within the 10-year period before the application for registration, no such party has been convicted of or pleaded nolo contendere to a misdemeanor charge or been the subject of a civil action alleging violations of franchise, antifraud, or securities law; fraud; embezzlement; fraudulent conversion or misappropriation of property; or unfair or deceptive practices or comparable allegations.
This information is crucial for prospective franchisees as it offers insight into the legal and ethical background of the people associated with Pearce Bespoke. A history free of felony convictions or significant legal issues can provide reassurance about the stability and integrity of the franchise system. However, franchisees should still conduct their own due diligence to verify this information and assess any potential risks.