In the All County Franchise Agreement for Maryland, what is the effect of a franchisee signing a questionnaire?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
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- 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, specifically the addendum for Maryland, any statement, questionnaire, or acknowledgment signed by a franchisee at the start of their franchise relationship does not waive their rights to make claims under Maryland franchise law. This includes claims related to fraud in the inducement. Furthermore, signing such documents does not mean the franchisee is disclaiming reliance on statements made by All County, its franchise sellers, or anyone acting on their behalf. This provision takes precedence over any conflicting terms in any document related to the franchise agreement.
In simpler terms, even if an All County franchisee in Maryland signs a document that seems to waive their right to sue or disclaim reliance on statements made by the franchisor, that waiver is not enforceable under Maryland law. This protects franchisees from inadvertently giving up their legal rights through standard paperwork at the beginning of the franchise relationship.
This protection is particularly important because the initial stages of a franchise relationship often involve numerous documents and representations. Franchisees might feel pressured to sign everything quickly without fully understanding the implications. This clause ensures that franchisees retain their rights under Maryland franchise law, regardless of what they might have signed in those initial documents. It is a safeguard against potential overreach by the franchisor and protects the franchisee's ability to seek legal recourse if necessary.