For Alloy franchises in Maryland, can anything in Section 15.B of the Franchise Agreement act as a release of liability incurred under the Maryland Franchise Registration and Disclosure Law?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
- The following sentence is hereby added to the end of Section 15.B, Waiver/Integration:
Nothing in this Section 15.B, however, will act as a release, estoppel or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, Section 15.B of the Franchise Agreement will not act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law for franchises sold in Maryland. This protection is explicitly stated in an addendum to the Franchise Agreement required for Maryland franchisees. This addendum modifies the original agreement to comply with Maryland statutes and regulations.
This means that even if the standard franchise agreement contains language that could be interpreted as a waiver of rights, Maryland franchisees retain their rights and protections under Maryland franchise law. Alloy is ensuring that franchisees in Maryland cannot inadvertently or unknowingly relinquish their legal rights through the standard agreement's general provisions.
This provision offers a significant benefit to prospective Alloy franchisees in Maryland, as it ensures that they are not giving up their legal rights under the Maryland Franchise Registration and Disclosure Law by signing the franchise agreement. This is particularly important because franchise laws are designed to protect franchisees from potential abuses by franchisors, and this addendum reinforces that protection.