Does the Angry Chickz agreement disclaim representations made in the franchise disclosure document?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, the franchise agreement includes provisions that address the disclaimer of reliance on statements made by the franchisor. Specifically, addenda for several states (Illinois, California, Maryland, Virginia, and North Dakota) and New York clarify that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Angry Chickz or its representatives. These provisions are designed to protect franchisees from inadvertently relinquishing their legal rights based on information provided during the franchise sales process. These stipulations supersede any other conflicting terms in any document executed in connection with the franchise.
For a prospective Angry Chickz franchisee, this means that any documents signed during the commencement of the franchise relationship cannot be interpreted as a waiver of their right to bring claims against the franchisor based on misrepresentations or fraud. This protection extends to reliance on statements made by Angry Chickz, franchise sellers, or anyone acting on their behalf. This is particularly important because the franchise sales process often involves numerous communications and representations, and franchisees need to be able to rely on the accuracy and truthfulness of the information provided.
However, it's important to note that these protections are often tied to specific state laws, as indicated by the addenda for Illinois, California, Maryland, Virginia, and North Dakota. The effectiveness of these provisions may depend on meeting the jurisdictional requirements of each state's franchise investment law. Therefore, franchisees should be aware of the specific laws in their state and how they apply to their franchise agreement. Additionally, the New York addendum specifically states that no statement can disclaim reliance on any statement made by any franchisor, franchise seller, or other person.
In summary, the Angry Chickz franchise agreement, as amended by state-specific addenda, aims to prevent franchisees from disclaiming reliance on the franchisor's representations. This offers a degree of protection to franchisees, ensuring they can pursue legal remedies if they believe they were misled during the franchise sales process. However, franchisees should consult with legal counsel to fully understand their rights and the specific protections available under their state's franchise laws.