In Illinois, can a franchisee waive compliance with the Illinois Franchise Disclosure Act when acquiring a 1-800-GOT-JUNK? franchise?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
In conformance with Section 41 of the Illinois Franchise Disclosure Act, any condition, stipulation, or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any law of Illinois is void.
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.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 FDD, if you are acquiring a 1-800-GOT-JUNK? franchise in Illinois, you cannot waive compliance with the Illinois Franchise Disclosure Act. The Illinois addendum to the franchise agreement explicitly states that any attempt to waive compliance with the Illinois Franchise Disclosure Act or any law of Illinois is void. This protects franchisees by ensuring they cannot unknowingly give up their legal rights under Illinois law.
This protection extends to any condition, stipulation, or provision within the franchise agreement. Furthermore, any statement, questionnaire, or acknowledgment signed by the franchisee cannot waive claims under state franchise law, including claims related to fraud in the inducement. It also prevents disclaiming reliance on statements made by 1-800-GOT-JUNK?, its sellers, or representatives.
This provision in the addendum supersedes any conflicting terms in any document related to the franchise agreement. This means that even if other parts of the agreement seem to suggest a waiver is possible, the Illinois Franchise Disclosure Act prevails, ensuring the franchisee's rights are upheld under Illinois law.