The FDD is divided into 23 sections (referred to as “items”) and contains information and disclosures about the franchisor, the franchise system offered, the fees that you will be charged, your estimated start-up expenses, your obligations as a franchisee, the franchise agreement, and other franchise related agreements that you will be required to sign.
- Item 1:The Franchisor and any Parents, Predecessors and Affiliates -Item 2:Business Experience -Item 3:Litigation -Item 4:Bankruptcy -Item 5:Initial Fees -Item 6:Other Fees -Item 7:Estimated Initial Investment -Item 8:Restrictions on Sources of Products and Services -Item 9:Franchisee’s Obligations -Item 10:Financing -Item 11:Franchisor’s Assistance, Advertising, Computer Systems and Training -Item 12:Territory -Item 13:Trademarks -Item 14:Patents, Copyrights, and Proprietary Information -Item 15:Obligation to Participate in the Actual Operation of the Franchise Business -Item 16:Restrictions on what the Franchisee may Sell -Item 17:Renewal, Termination, Transfer and Dispute Resolution -Item 18:Public Figures -Item 19:Financial Performance Representations -Item 20:Outlets and Franchisee Information -Item 21:Financial Statements -Item 22:Contracts -Item 23:Receipts
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and Charles N. Internicola, Esq. and that the information contained on this site does not and cannot serve as a replacement for the competent legal advice of a licensed attorney in your state. Further you acknowledge that any and all citations to cases and statutes must be independently verified by competent legal counsel to confirm the validity and accuracy of such information. The content of this site is subject to the Copyright of its author and owner, Charles N. Internicola, Esq.
