Does the California addendum amend Item 3 of the Zoomin Groomin Disclosure Document?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
Item 3 of the Disclosure Document is amended by adding the following paragraph:
Neither we nor any person or franchise broker in Item 2 of this disclosure document is subject to any currently effective order of any national securities association or national securities exchange, as defined in the Securities Exchange Act of 1934, 15 U.S.C.A. 78a et seq., suspending or expelling these persons from membership in this association or exchange.
Source: Item 23 — RECEIPTS (FDD pages 49–51)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the California Addendum does amend Item 3. Specifically, the addendum includes an additional paragraph to Item 3 for franchises governed by the California Franchise Investment Law. This paragraph states that neither Zoomin Groomin nor any person or franchise broker listed in Item 2 is subject to any currently effective order from a national securities association or exchange, as defined in the Securities Exchange Act of 1934.
This amendment ensures that prospective franchisees in California are informed about the legal standing of Zoomin Groomin and its brokers concerning securities regulations. It provides an additional layer of transparency, assuring franchisees that the company and its representatives are not under any current disciplinary actions related to securities laws.
Furthermore, the California Addendum also amends Item 17, adding paragraphs related to franchisee rights concerning termination, transfer, or non-renewal, as provided by California Business and Professions Code Sections 20000 through 20043. This highlights the importance of understanding state-specific laws that may supersede the standard franchise agreement, offering additional protection to franchisees operating in California.