Can an Angry Chickz franchisee disclaim reliance on statements made by the franchisor?
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, an addendum to Item 22 states that franchisees cannot disclaim reliance on statements made by the franchisor, franchise seller, or anyone acting on their behalf. This protection extends to claims under applicable state franchise laws, including fraud in the inducement. This specific provision overrides any conflicting terms in any document related to the franchise agreement. These stipulations are applicable to franchisees in California, Illinois, Minnesota, Virginia, Maryland, and North Dakota.
This means that Angry Chickz franchisees in these states retain the right to pursue legal action based on statements made by the franchisor, even if they have signed documents that appear to waive this right. This is a significant protection for franchisees, as it prevents the franchisor from using contractual language to shield themselves from liability for misrepresentations or misleading statements.
This type of clause is included to comply with franchise laws in certain states like California, Illinois, Minnesota, Virginia, Maryland, and North Dakota, which aim to protect franchisees from overreaching franchisors. Prospective Angry Chickz franchisees should be aware of this protection and consult with an attorney to fully understand their rights under the franchise agreement and applicable state laws. This ensures that franchisees are not unknowingly waiving their legal rights during the franchise relationship.