Does the All County Acknowledgment Addendum act as a release of liability under the Maryland Franchise Registration and Disclosure Law?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
All representations requiring prospective franchisees to assent to a release, estoppel or waiver of liability are not intended to nor shall they act as a release, estoppel or waiver of liability incurred under the Maryland Franchise Registration and Disclosure Law.
Source: Item 22 — Contracts (FDD page 43)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, the Acknowledgment Addendum is not intended to act as a release, estoppel, or waiver of liability incurred under the Maryland Franchise Registration and Disclosure Law. This protection is specifically outlined for prospective franchisees in Maryland. The addendum ensures that franchisees do not inadvertently waive their rights under Maryland franchise law when signing documents related to the commencement of the franchise relationship.
Specifically, the FDD states that any representations requiring prospective franchisees to assent to a release, estoppel, or waiver of liability are not intended to, nor shall they act as a release, estoppel, or waiver of liability incurred under the Maryland Franchise Registration and Disclosure Law. This means that even if the franchisee signs an acknowledgment that seems to limit All County's liability, it will not be enforced to the extent that it violates Maryland franchise law.
Furthermore, the All County FDD clarifies that no statement, questionnaire, or acknowledgment signed by a franchisee in connection with starting the franchise can waive claims under Maryland franchise law, including claims of fraud in the inducement, or disclaim reliance on statements made by All County or its representatives. This provision takes precedence over any conflicting terms in other documents related to the franchise agreement. This ensures that franchisees retain their legal rights and protections under Maryland law, regardless of any acknowledgments they may sign.