Can an Alloy franchisee bring an action in Washington if litigation is not precluded by the franchise agreement?

According to Alloy's 2025 Franchise Disclosure Document, if the franchise agreement does not preclude litigation, a franchisee in Washington may initiate legal action or proceedings. This action must arise from or be connected to the sale of franchises or a violation of the Washington Franchise Investment Protection Act. This provision ensures that Alloy franchisees in Washington have the right to seek legal recourse within the state under certain conditions.

This right is further reinforced by the Washington Addendum, which states that the provisions of the Washington Franchise Investment Protection Act will prevail in the event of a conflict of laws. Additionally, RCW 19.100.180, also known as the Franchisee Bill of Rights, may supersede provisions in the franchise agreement regarding the franchisee's relationship with Alloy, particularly in areas such as termination and renewal. Court decisions may also override aspects of the franchise agreement.

Moreover, any release or waiver of rights that would bind the franchisee to waive compliance with the Washington Franchise Investment Protection Act is void unless it meets specific conditions. These conditions include being executed pursuant to a negotiated settlement after the agreement is in effect and with both parties represented by independent counsel, as outlined in RCW 19.100.220(2). This protection extends to releases or waivers executed during a renewal or transfer of a franchise, ensuring franchisees are not unknowingly relinquishing their rights under state law.