Can Angry Chickz franchisees in Washington waive exemplary or punitive damages?

According to the 2025 Angry Chickz FDD, provisions requiring franchisees in Washington to waive exemplary, punitive, or similar damages are generally void. This protection is in place due to RCW 19.100.190, which allows franchisees to seek treble damages under certain conditions. This means that Angry Chickz franchisees typically retain the right to pursue such damages if circumstances warrant.

However, there is an exception to this rule. A waiver of exemplary or punitive damages is permissible if it is executed as part of a negotiated settlement after the franchise agreement is already in effect. Additionally, for such a waiver to be valid, both parties—Angry Chickz and the franchisee—must be represented by independent legal counsel. This ensures that the franchisee's rights are protected and that the settlement is entered into knowingly and voluntarily.

This provision is further reinforced by the Washington addendum, which states that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under applicable state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Angry Chickz or its representatives. This addendum underscores the state's commitment to protecting franchisees' rights and ensuring fair dealing within the franchise relationship. Therefore, while waivers are generally prohibited, they may be enforceable under very specific conditions involving post-agreement negotiation and independent legal representation.