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Law Pro
Law Pro, Attorney
Category: Legal
Satisfied Customers: 24870
Experience:  20 years legal practitioner: real estate, collections, estate, civil, business, and criminal law
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I recently purchased a franchise. Im concerned with the way

Customer Question

I recently purchased a franchise. I'm concerned with the way the franchisor handled the contract and exchange of money. They demanded money, before I saw the contract, $3k of $10k, and told me it was non-refundable. When we finally did sign the contract, they insisted I put a date on the contract that was months earlier, I think to cover for the fact they took money without providing a franchise disclosure. Because of how they handled the contract, is it even valid? Any help would be greatly appreciated.
Submitted: 5 years ago.
Category: Legal
Expert:  Law Pro replied 5 years ago.
It is a valid contract; however, when it started is questionable.

You can agree that a contract started at an earlier date.

But obviously you can't execute a contract before you actually execute the contract - so "back-dating" of the execution date would be subject to objection certainly.

But it is a valid and binding contract.

Yes, it's odd or unreasonable to pay a franchise fee BEFORE you read the contract - you could have walked away and demanded to see the contract first.

As to "back-dating" the contract as to it's execution - by doing that - you agreed to it's terms from that date forward although, in reality, you signed/executed the contract at a later date.

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