Who is responsible for verifying the accuracy of information presented in a Franchise Disclosure Document (FDD)?

Question

Quizplus · Accepted Answer

The person or company reading the FDD is responsible for verifying the accuracy of the information presented. While there are specific requirements for the content of an FDD set forth by the Federal Trade Commission, it is ultimately up to the reader to review and confirm the information provided. Neither the preparer of the FDD nor a governmental agency is responsible for verifying the accuracy of the information. While some states may have agencies responsible for reviewing FDDs filed within their jurisdiction, their role is generally focused on ensuring compliance with state-specific regulations and not on verifying accuracy.

Who Is Responsible for Verifying the Accuracy of Information Presented