Under what circumstances is the 'Addendum to Franchise Agreement' for Precision Door Service signed?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
| This ADDENDUM TO FRANCHISE AGREEMENT is entered into by and between Precision | |
|---|---|
| Door Service SPV LLC, a Delaware limited liability company with an address of 2395 Washington Avenue, | |
| Suite 5, Titusville, Florida 32780 ("Franchisor") and, individually, with an address of | |
| ("Franchisee"). | |
| Agreement (the "Agreement") and wish to amend certain terms of the Agreement. This Addendum is being | WHEREAS, Franchisor and Franchisee have contemporaneously herewith entered into a Franchise |
| signed because (a) the offer or sale of the franchise for the Franchised Business that Franchisee will operate | |
| under the Agreement was made in the State of Rhode Island, and/or (b) Franchise is a resident of Rhode | |
| Island and the Franchised Business will be located in Rhode Island. | |
| which are hereby acknowledged, the Agreement is hereby amended as follows: | NOW, for and in consideration of good and valuable consideration, the receipt and sufficiency of |
| 1. | Notwithstanding anything to the contrary in the Agreement, in the event of a conflict |
| between the provisions of the Agreement and the provisions of this Addendum, the provisions of this | |
| Addendum shall control. The parties agree that the Agreement remains fully effective in all respects except | |
| as specifically modified herein, and all the respective rights and obligations of Franchisee and Franchisor | |
| remain as written unless modified herein. | |
| 2. | Section 14.G.1, Applicable Law and Waiver, and Section 14.H, Venue, are amended by |
| adding: | |
| Island or requiring the application of the laws of a state other than Rhode Island is void as to a claim | Any provision in the franchise agreement restricting jurisdiction or venue to a forum outside Rhode |
| otherwise enforceable under the Rhode Island Franchise Investment Act. | |
| 3. to such provision, that the jurisdictional requirements of the Rhode Island Franchise Investment Act (19 R.I. GEN. Addendum. | Each provision set forth in this Addendum shall be effective only to the extent, with respect LAWS §§ 19-28.1-1 through 19-28.1-34) are met independently without reference to this |
| Signed on this day of, 20 | FRANCHISEE: |
| , individually | |
| Accepted as of the day of, 20 | FRANCHISOR: Precision Door Service SPV LLC BY: , President |
Source: Item 22 — Contracts (FDD pages 91–92)
What This Means (2025 FDD)
According to the 2025 Precision Door Service Franchise Disclosure Document, an 'Addendum to Franchise Agreement' is signed under specific circumstances, primarily related to state franchise laws. For instance, if the offer or sale of a Precision Door Service franchise occurs in Rhode Island, or if the franchisee is a resident of Rhode Island and the franchised business will be located there, an addendum is required to amend certain terms of the agreement to comply with Rhode Island law. This ensures that provisions restricting jurisdiction or venue to a forum outside Rhode Island are void concerning claims enforceable under the Rhode Island Franchise Investment Act.
Similarly, addenda are used to comply with the franchise laws of other states. For example, for franchises in North Dakota, Illinois, Maryland and Minnesota, addenda modify the franchise or development agreement to align with state-specific regulations. These modifications can include stipulations that covenants not to compete are generally unenforceable (North Dakota), designating jurisdiction and venue within the state (Illinois), specifying the statute of limitations for claims (Maryland), and acknowledging adherence to state franchise laws (Minnesota). These addenda also often include clauses ensuring that franchisees do not waive rights or disclaim reliance on franchisor statements, as required by state laws.
Furthermore, Precision Door Service uses an 'Acknowledgment Addendum' to ensure that franchisees acknowledge the terms of the franchise agreement and confirm that no unauthorized statements or promises have been made to them. This addendum serves to protect both the franchisee and the franchisor by clarifying understandings and limitations related to the franchise offering and business operation. However, this addendum does not apply to candidates located in, or franchised businesses to be located in, any of the following franchise registration states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI.
In summary, the 'Addendum to Franchise Agreement' for Precision Door Service is employed to address state-specific legal requirements, clarify franchisee acknowledgments, and modify the standard franchise agreement to ensure compliance with applicable laws and regulations, thereby protecting the interests of both the franchisor and the franchisee.