Does the 1-800-GOT-JUNK? Franchise Agreement specify whether the guarantor waives any rights or defenses?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
ACKNOWLEDGMENT: It is agreed that the foregoing state law addendum supersedes any inconsistent portion of the Franchise Agreement dated the _____ day of _________________, 20, and of the Franchise Disclosure Document, but only to the extent they are then valid requirements of an applicable and enforceable state law, and for only so long as the state law remains in effect.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the Virginia Addendum addresses the waiver of claims under state franchise law. Specifically, it states that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under applicable state franchise law, including claims of fraud, or disclaim reliance on statements made by the franchisor or its representatives.
This provision in the Virginia Addendum explicitly supersedes any other term in any document executed in connection with the 1-800-GOT-JUNK? franchise. It ensures that franchisees in Virginia retain their rights under state franchise law, preventing them from inadvertently waiving these rights through standard agreements or acknowledgments. This protection remains in effect as long as the state law is valid.
For a prospective 1-800-GOT-JUNK? franchisee in Virginia, this addendum provides an additional layer of legal security. It means that they cannot be compelled to waive their rights to pursue claims against the franchisor under Virginia franchise law, offering recourse in case of disputes or misrepresentations. Franchisees in other states may not have this specific protection, so it's essential to understand the specific addenda applicable to their state.