factual

Does the addendum for Maryland All County franchises supersede other terms in the franchise documents regarding waivers of claims?

All_County Franchise · 2025 FDD

Answer 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.

Source: Item 22 — Contracts (FDD page 43)

What This Means (2025 FDD)

According to All County's 2025 Franchise Disclosure Document, the addendum for Maryland franchises does indeed supersede other terms in the franchise documents regarding waivers of claims. Specifically, the addendum states that no statement, questionnaire, or acknowledgment signed by a franchisee in connection with starting the franchise can waive claims under any applicable state franchise law, including fraud in the inducement, or disclaim reliance on statements made by All County or its representatives. This provision is explicitly stated to override any other conflicting terms in any document related to the franchise agreement. This protection applies specifically to claims arising under Maryland franchise law.

This means that even if an All County franchisee in Maryland signs a document that appears to waive their rights or acknowledge certain statements, that waiver will not be valid if it contradicts the protections offered by Maryland's franchise laws. This is particularly relevant in cases of alleged fraud or misrepresentation during the franchise sales process. The addendum ensures that franchisees retain their legal rights under Maryland law, regardless of any potentially conflicting language in other franchise documents.

For a prospective All County franchisee in Maryland, this addendum provides an important safeguard. It prevents All County from using standard contract language to inadvertently or intentionally limit the franchisee's ability to pursue legal claims related to violations of Maryland franchise law. Franchisees should still carefully review all documents and seek legal advice, but this provision offers additional assurance that their rights under Maryland law are protected. This type of addendum is common in franchise agreements to comply with state-specific franchise laws, which often aim to protect franchisees from overreaching franchisors.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.