factual

What specific law allows an All County franchisee in Maryland to bring a lawsuit?

All_County Franchise · 2025 FDD

Answer from 2025 FDD Document

The following applies to franchises and franchisees subject to Maryland statutes and regulations. Item numbers correspond to those in the main body:

Item 17.

    1. A franchisee may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law.
    1. Our termination of the Franchise Agreement because of your bankruptcy may not be enforceable under applicable federal law (11 U.S.C.A. 101 et seq.)
    1. Any general release required in the Franchise Agreement as a condition of renewal, sale, and/or assignment or transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
    1. Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within 3 years after the grant of the Franchise Agreement.
    1. 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 the 2025 All County Franchise Disclosure Document, an All County franchisee in Maryland may bring a lawsuit for claims arising under the Maryland Franchise Registration and Disclosure Law. This is explicitly stated in the addendum to the franchise agreement for the state of Maryland.

This provision ensures that All County franchisees in Maryland have legal recourse under Maryland law for any issues or disputes that may arise related to their franchise agreement. It also specifies that any claims arising under this law must be brought within three years after the grant of the Franchise Agreement.

Furthermore, the FDD states that any general release required in the Franchise Agreement as a condition of renewal, sale, and/or assignment or transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law. This protects the franchisee's rights under Maryland law even if they sign a general release. Additionally, no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under state franchise law or disclaim reliance on statements made by All County or its representatives.

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.