What is the timeframe Punch King Fitness, Inc. must provide the disclosure document in Oklahoma?
Punch_King_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
If Punch King Fitness, Inc. offers you a franchise, it must provide this disclosure document to you 14 calendar days before you sign a binding agreement with, or make a payment to, the franchisor or an affiliate in connection with the proposed franchise sale or sooner if required by applicable state law.
[New York, Oklahoma, and Rhode Island require that Punch King Fitness, Inc. gives you this disclosure document at the earlier of the first personal meeting or 10 business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship.]
Source: Item 23 — RECEIPT (FDD pages 215–216)
What This Means (2024 FDD)
According to Punch King Fitness's 2024 Franchise Disclosure Document, Oklahoma is one of the states with specific regulations regarding when the FDD must be provided to prospective franchisees. In Oklahoma, Punch King Fitness must provide the disclosure document at the earlier of two occurrences: the first personal meeting with the prospective franchisee, or 10 business days before the execution of the franchise or other agreement, or the payment of any consideration related to the franchise relationship. This requirement is also applicable in New York and Rhode Island.
This means that a potential Punch King Fitness franchisee in Oklahoma must receive the FDD well in advance of making any commitments or payments. The 10-business-day timeframe allows them adequate time to review the document, seek legal counsel, and conduct due diligence before entering into a binding agreement. The 'first personal meeting' trigger ensures that the disclosure happens early in the process, allowing informed discussions from the outset.
This is more stringent than the federal standard, which mandates a 14 calendar day review period. Punch King Fitness must adhere to the stricter state law in Oklahoma, providing a shorter window in terms of calendar days but potentially similar in terms of actual business days for review. Franchisees should confirm exactly when they received the FDD relative to these milestones to ensure compliance.