What is the effect of the Addendum on the Angry Chickz Franchise Agreement?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
ia Retail Franchising Act or the laws of Virginia, that provision may not be enforceable.
2. Item 22, Additional Disclosure. The following statement is added to Item 22:
No statement, questionnaire, or acknowledgment 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.
- Payment of all initial fees payable under the Franchise Agreement is deferred until Franchisor has satisfied its pre-opening obligations to you under the Franchise Agreement and your Angry Chickz business opens to the public.
ADDENDUM TO ANGRY CHICKZ FRANCHISING LLC FRANCHISE AGREEMENT (State of Virginia)
| THIS ADDENDUM is entered into as of, 20 between ANGRY CHICKZ FRANCHISING LLC, a California limited liability company ("Company"), and , a ("Franchisee"), with reference to the | |
|---|---|
| following: | |
| and/or (C) the franchised business will be located in the State of Virginia. | The provisions of this Addendum form an integral part of, and are incorporated into, the Franchise Agreement. This Addendum is being executed because: (A) the offer or sale of a franchise to you was made in the State of Virginia; (B) you are a resident of the State of Virginia; |
| 1. the public. | Notwithstanding anything to the contrary set forth in the Franchise Agreement, and in particular Section 5.1 thereof, Franchisee shall pay the Initial Fee to Company when Company has fulfilled its initial obligations to Franchisee and Franchisee's Angry Chickz business opens to |
| 2. document executed in connection with the franchise. | No statement, questionnaire, or acknowledgment 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 |
| the parties in accordance with its terms. | Except as set forth herein, the Franchise Agreement shall be valid and enforceable between |
| as of the Effective Date identified below. | IN WITNESS WHEREOF, the parties have duly executed, sealed and delivered this Addendum |
| "Company" | "Franchisee" |
| ANGRY CHICKZ FRANCHISING LLC, | , |
| a California limited liability company | [ ] an individual [ ] a general partnership; [ ] a limited partnership; |
| By: | [ ] a limited liability company; |
| Name: | [ ] a corporation; |
| Its: | By: |
| Date of signing: | Name: Its: Date of signing: |
ADDENDUM TO ANGRY CHICKZ FRANCHISING LLC AREA DEVELOPEMNT AGREEMENT
(State of Virginia)
| THIS ADDENDUM is entered into as of, 20 between ANGRY | ||
|---|---|---|
| CHICKZ FRANCHISING LLC, a California limited liability company ("Company"), and , a ("Franchisee"), with reference to the | ||
| following: | ||
| The provisions of this Addendum form an integral part of, and are incorporated into, the Development Agreement. This Addendum is being executed because: (A) the offer or sale of a franchise to you was made in the State of Virginia; (B) you are a resident of the State of Virginia; | ||
| and/or (C) the franchised business will be located in the State of Virginia. | ||
| 1. | Payment of all initial fees payable under the Area Development Agreement is deferred | |
| until Franchisor has satisfied its pre-opening obligations to you under the Area Development | ||
| Agreement and your first Angry Chickz business opens to the public. | ||
| 2. | No statement, questionnaire, or acknowledgment 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. | ||
| Except as set forth herein, the Area Development Agreement shall be valid and enforceable | ||
| between the parties in accordance with its terms. | ||
| IN WITNESS WHEREOF, the parties have duly executed, sealed and delivered this Addendum | ||
| as of the Effective Date identified below. | ||
| "Company" | "Developer" | |
| ANGRY CHICKZ FRANCHISING LLC, | , | |
| a California limited liability company | [ ] an individual [ ] a general partnership; [ ] a limited partnership; | |
| By: | [ ] a limited liability company; | |
| Name: | [ ] a corporation; | |
| Its: | By: | |
| Date of signing: | Name: Its: Date of signing: |
ADDENDUM TO ANGRY CHICKZ FRANCHISING LLC DISCLOSURE DOCUMENT FOR THE STATE OF WASHINGTON
The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise Disclosure Document regardless of anything to the contrary contained therein. This Addendum applies if: (a) the offer to sell a franchise is accepted in Washington; (b) the purchaser of the franchise is a resident of Washington; and/or (c) the franchised business that is the subject of the sale is to be located or operated, wholly or partly, in Washington.
1. Conflict of Laws. In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW will prevail.
2. Franchisee Bill of Rights. RCW 19.100.180 may supersede provisions in the franchise agreement or related agreements concerning your relationship with 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). In addition, any such release or waiver executed in connection with a renewal or transfer of a franchise is likewise void except as provided for in RCW 19.100.220(2).
5. 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.
6. Transfer Fees. Transfer fees are collectable only to the extent that they reflect the franchisor's reasonable estimated or actual costs in effecting a transfer.
7. Termination by Franchisee. The franchisee may terminate the franchise agreement under any grounds permitted under state law.
8. Certain Buy-Back Provisions. Provisions in franchise agreements or related agreements that permit the franchisor to repurchase the franchisee's business for any reason during the term of the franchise agreement without the franchisee's consent are unlawful pursuant to RCW 19.100.180(2)(j), unless the franchise is terminated for good cause.
9. Fair and Reasonable Pricing. Any provision in the franchise agreement or related agreements that requires the franchisee to purchase or rent any product or service for more than a fair and reasonable price is unlawful under RCW 19.100.180(2)(d).
10. Waiver of Exemplary & Punitive Damages. RCW 19.100.190 permits franchisees to seek treble damages under certain circumstances. Accordingly, provisions contained in the franchise agreement or elsewhere requiring franchisees to waive exemplary, punitive, or similar damages are 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).
11. Franchisor's Business Judgement. Provisions in the franchise agreement or related agreements stating that the franchisor may exercise its discretion on the basis of its reasonable business judgment may be limited or superseded by RCW 19.100.180(1), which requires the parties to deal with each other in good faith.
12. Indemnification. Any provision in the franchise agreement or related agreements requiring the franchisee to indemnify, reimburse, defend, or hold harmless the franchisor or other parties is hereby modified such that the franchisee has no obligation to indemnify, reimburse, defend, or hold harmless the franchisor or any other indemnified party for losses or liabilities to the extent that they are caused by the indemnified party's negligence, willful misconduct, strict liability, or fraud.
**13.
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, the Addendum modifies the franchise agreement, particularly concerning specific state laws and initial fee payments. The Addendum forms an integral part of the Franchise Agreement and addresses situations where the franchise is offered or sold in specific states, such as Virginia, Rhode Island, Maryland, and Illinois, or where the franchisee resides in those states.
One significant effect of the Addendum is the deferral of initial fees. In Virginia, payment of all initial fees is deferred until Angry Chickz has met its pre-opening obligations and the franchisee's business is open to the public. Similarly, for franchises sold in Maryland, all initial fees and payments are deferred until Angry Chickz completes its pre-opening obligations. Illinois also mandates the deferral of initial fees until Angry Chickz fulfills its pre-opening obligations and the business is open. This deferral is often due to the franchisor's financial condition, as noted in the Illinois addendum.
The Addendum also addresses legal rights and waivers. It ensures that no statement or acknowledgment signed by the franchisee waives claims under state franchise law, including fraud in the inducement, or disclaims reliance on statements made by Angry Chickz. This provision supersedes any conflicting terms in other documents. For Rhode Island, the Addendum adds language to sections of the agreement, stating that any provision restricting jurisdiction or venue to a forum outside the state or requiring the application of other state laws is void concerning claims enforceable under the Rhode Island Franchise Investment Act. In Maryland, the addendum ensures that any release required for assignment or renewal does not apply to liability under the Maryland Franchise Law, and it specifies that litigation arising under this law may be brought in Federal District Court in Maryland.
In summary, the Addendum serves to protect franchisees' rights, ensure compliance with state-specific franchise laws, and adjust the timing of initial fee payments based on the franchisor's obligations and the opening of the franchise. Except for these specific modifications, the original Franchise Agreement remains valid and enforceable.