Are there any limitations on the statute of limitations period for claims under the Washington Franchise Investment Protection Act for Alloy franchisees?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Statute of Limitations and Waiver of Jury Trial. Provisions contained in the franchise agreement or related agreements that unreasonably restrict or limit the statute of limitations period for claims under the Washington Franchise Investment Protection Act, or rights or remedies under the Act such as a right to a jury trial, may not be enforceable.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, provisions in the franchise agreement or related documents that unreasonably restrict or limit the statute of limitations period for claims under the Washington Franchise Investment Protection Act may not be enforceable. This also applies to rights or remedies under the Act, such as the right to a jury trial.
This means that while the standard Alloy franchise agreement might contain clauses that shorten the time a franchisee has to bring a claim under Washington law, those clauses could be deemed unenforceable by a Washington court. The purpose of this addendum is to protect franchisees in Washington from unknowingly waiving their rights under the state's franchise laws.
Prospective Alloy franchisees in Washington should be aware of this protection and consult with an attorney to understand their rights under the Washington Franchise Investment Protection Act. They should also carefully review the franchise agreement and any related documents to identify any provisions that might attempt to limit the statute of limitations period or other rights under the Act. Franchisees should also be aware that any release or waiver of rights in the franchise agreement is void unless executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel.