factual

What is the effect of the Washington Franchise Investment Protection Act on the Angry Chickz Development Agreement?

Angry_Chickz Franchise · 2025 FDD

Answer from 2025 FDD Document

  • **1.

Background**.

The provisions of this Addendum form an integral part of, are incorporated into, and modify the Development Agreement 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.

  • **2.

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.

  • **3.

Franchisee Bill of Rights.** RCW 19.100.180 may supersede provisions in the Development 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 Development Agreement or related agreements concerning your relationship with the franchisor.

Development agreement provisions, including those summarized in Item 17 of the Franchise Disclosure Document, are subject to state law.

  • **4.

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 Development 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.

  • **5.

General Release.** A release or waiver of rights in the Development 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 Franchise Disclosure Document, the Washington Franchise Investment Protection Act significantly impacts the Development Agreement for franchises sold in Washington. An addendum to the Development Agreement explicitly addresses how Washington law interacts with the agreement's terms. This addendum applies if the franchise offer is accepted in Washington, the purchaser is a Washington resident, or the franchised business will operate in Washington.

In case of conflicting laws, the Washington Franchise Investment Protection Act (chapter 19.100 RCW) takes precedence over the Development Agreement. Furthermore, RCW 19.100.180, which concerns the Franchisee Bill of Rights, may override specific provisions in the Development Agreement or related documents, especially regarding franchise termination and renewal. Court decisions may also supersede the Development Agreement concerning the relationship between Angry Chickz and the franchisee. The FDD also states that any general release or waiver of rights that requires a franchisee to waive compliance with the Washington Franchise Investment Protection Act is void unless it meets specific conditions, such as being part of a negotiated settlement with independent legal representation after the agreement is in effect.

Moreover, the addendum addresses dispute resolution. For any arbitration or mediation involving a franchise purchased in Washington, the venue must be in Washington or another location mutually agreed upon. If litigation isn't precluded by the Development Agreement, a franchisee can file a lawsuit in Washington for issues arising from the sale of franchises or violations of the Washington Franchise Investment Protection Act. These stipulations ensure that Washington franchisees have legal recourse within their own state and that their rights under Washington law are protected.

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.