What actions are considered a violation of the Washington Franchise Investment Protection Act regarding the sale of Angry Chickz franchises?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
h the franchisor, including in the areas of termination and renewal of your franchise. There may also be court decisions that supersede the franchise agreement or related agreements concerning your relationship with the franchisor. Franchise agreement provisions, including those summarized in Item 17 of the Franchise Disclosure Document, are subject to state law.
- 3. Site of Arbitration, Mediation, and/or Litigation. In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
- 4. General Release. A release or waiver of rights in the franchise agreement or related agreements purporting to bind the franchisee to waive compliance with any provision under the Washington Franchise Investment Protection Act or any rules or orders thereunder is void except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel, in accordance with RCW 19.100.220(2).
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
According to the 2025 Angry Chickz FDD, several actions could violate the Washington Franchise Investment Protection Act. These protections primarily apply if the franchise offer is accepted in Washington, the purchaser resides in Washington, or the franchised business operates in Washington.
Specifically, any release or waiver of rights that requires a franchisee to waive compliance with any provision under the Washington Franchise Investment Protection Act is void. An exception exists only if the waiver is part of a negotiated settlement, agreed to after the franchise agreement is in effect, and both parties have independent legal counsel. This protection extends to releases or waivers connected with franchise renewals or transfers, with the same exception for negotiated settlements with independent counsel.
Additionally, the FDD states that Angry Chickz cannot restrict a franchisee from communicating with or complaining to regulators. The FDD also clarifies that any statement, questionnaire, or acknowledgment signed by a franchisee cannot waive claims under state franchise law, including claims of fraud. These stipulations ensure that franchisees retain their rights and protections under Washington law, preventing Angry Chickz from using contractual terms to circumvent these legal safeguards.