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Are there any restrictions on Alloy's ability to limit a franchisee's right to a jury trial in Washington?

Alloy Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. 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, there are restrictions regarding the franchisor's ability to limit a franchisee's right to a jury trial in Washington. Specifically, provisions in the franchise agreement or related documents that unreasonably restrict or limit rights or remedies under the Washington Franchise Investment Protection Act, such as the right to a jury trial, may not be enforceable. This protection is part of the Washington Addendum to the Franchise Disclosure Document, Franchise Agreement, and all related agreements, which applies if the franchise is offered or accepted in Washington, the purchaser is a Washington resident, or the franchised business is located or operated in Washington.

This means that Alloy franchisees in Washington have certain legal rights that cannot be waived or unreasonably restricted by the franchise agreement. The Washington Franchise Investment Protection Act aims to protect franchisees from unfair practices, and this includes ensuring access to a jury trial if a dispute arises. The addendum explicitly states that provisions that conflict with the Act may not be enforceable, reinforcing the franchisee's rights under state law.

For a prospective Alloy franchisee in Washington, this is a beneficial provision. It ensures that they retain the right to a jury trial for claims under the Washington Franchise Investment Protection Act, despite any potentially restrictive clauses in the franchise agreement. This protection helps to balance the power dynamic between the franchisor and franchisee, providing an avenue for fair resolution of disputes.

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.