---
title: "Prompt template with guardrails: compare the disclosure document with the franchise agreement"
url: "https://ailawframework.com/precedents/franchising-and-distribution/compare-disclosure-and-agreement-prompt"
type: "precedent"
site: "AI Law Framework"
id: "a34-compare-disclosure-and-agreement-prompt"
area_id: "A34"
kind: "prompt"
ai_level: "yellow"
version: 1
law_stated_as_at: "2026-10-17"
---

# Prompt template with guardrails: compare the disclosure document with the franchise agreement

> Ready-to-use prompt for an approved AI tool that lines up disclosure document items against franchise agreement clauses and lists inconsistencies on fees, territory, term, restraints, capex and funds, with citations…

Canonical page: https://ailawframework.com/precedents/franchising-and-distribution/compare-disclosure-and-agreement-prompt  
Law stated as at: 2026-10-17

Site index for agents: https://ailawframework.com/llms.txt

Ready-to-use prompt for an approved AI tool that lines up disclosure document items against franchise agreement clauses and lists inconsistencies on fees, territory, term, restraints, capex and funds, with citations and a verification checklist.

## Key facts

- Kind: AI prompt. A prompt to give an AI tool, with the checks that go with it.
- Practice area: [Franchising & Distribution](https://ailawframework.com/precedents/franchising-and-distribution.md)
- Jurisdictions: Australia
- AI level: Yellow. AI can help in set ways. A lawyer checks specific points before use.
- Law stated as at: 2026-10-17
- Status: Maintained. Checked on 2026-10-17 against the 3 authorities it cites, for Australia.

## When to use it

Use when reviewing a franchise disclosure pack for either side, after confirming the client permits AI use and the tool is approved. The output is an issues list for a lawyer to verify, not advice.

## How AI may be used

AI compares two document sets and lists inconsistencies with citations. The lawyer checks every row against both documents before relying on or sending it.

**AI may:**

- Line up each disclosure item with the corresponding agreement clauses, quoting both
- List inconsistencies, gaps and terms that appear only in one document
- Build a money table of fees, levies and costs with citations

**AI must not:**

- Must not advise whether to sign or assess commercial viability
- Must not characterise a term as unfair or unenforceable
- Must not be run on documents the client has not authorised for AI use, or in an unapproved tool

**The lawyer checks:**

- Every row checked against both documents
- Missing documents (lease, manual, side letters) identified
- Conclusions in the advice are the lawyer’s, not the tool’s

## Authorities

- [Competition and Consumer (Industry Codes—Franchising) Regulations 2024 (Cth) ss 20, 23 and Sch 1](https://www.legislation.gov.au/F2024L01605/latest/text)
- [Competition and Consumer Act 2010 (Cth) Sch 2 (Australian Consumer Law) s 18](https://www.legislation.gov.au/C2004A00109/latest/text)
- [Legal Profession Uniform Law Australian Solicitors' Conduct Rules 2015 rr 4.1.3, 9.1, 37.1](https://legislation.nsw.gov.au/view/html/inforce/current/sl-2015-0244)

## Full text and drafting notes

The full text and the drafting notes are not part of this public page. Signed-in firm accounts can read them at https://ailawframework.com/precedents/franchising-and-distribution/compare-disclosure-and-agreement-prompt and through the signed-in MCP connector https://ailawframework.com/mcp/firm.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*