For Alloy franchises in Maryland, does the Franchise Agreement allow a franchisee to bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law?

According to Alloy's 2025 Franchise Disclosure Document, the Franchise Agreement does allow a franchisee to bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. Specifically, Section 15.I of the Franchise Agreement is amended to explicitly state that franchisees can bring such lawsuits in Maryland. This amendment ensures that Alloy franchisees in Maryland have the right to seek legal recourse within their own state for violations of Maryland's franchise laws.

This provision is further clarified by stating that any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the date of the Franchise Agreement. This time limit sets a clear deadline for franchisees to file lawsuits, providing both the franchisee and Alloy with a defined period for legal action.

This amendment is part of an addendum to the Franchise Agreement required for Maryland franchisees, indicating Alloy's compliance with Maryland statutes and regulations. The addendum also includes provisions ensuring that general releases required for renewal, sale, or transfer of the franchise do not apply to liabilities under the Maryland Franchise Registration and Disclosure Law. This comprehensive approach protects the franchisee's rights under Maryland law, ensuring they are not inadvertently waived through standard contractual clauses.