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What is the relationship between the Franchise Agreement and the Washington Franchise Investment Protection Act for Angry Chickz franchises?

Angry_Chickz Franchise · 2025 FDD

Answer from 2025 FDD Document

tors is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h).

  • 18. Advisory Regarding Franchise Brokers. Under the Washington Franchise Investment Protection Act, a "franchise broker" is defined as a person that engages in the business of the offer or sale of franchises. A franchise broker represents the franchisor and is paid a fee for referring prospects to the franchisor and/or selling the franchise. If a franchisee is working with a franchise broker, franchisees are advised to carefully evaluate any information provided by the franchise broker about a franchise.

ADDENDUM TO ANGRY CHICKZ FRANCHISING LLC FRANCHISE AGREEMENT (State of Washington)

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:
  • 1. Background. The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise 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 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.

  • 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 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.

  • 5. 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).

  • 6. 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.

  • 7. 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.

  • **8.

Source: Item 23 — RECEIPTS (FDD pages 54–260)

What This Means (2025 FDD)

According to the 2025 Angry Chickz Franchise Disclosure Document, an addendum addresses the relationship between the Franchise Agreement and the Washington Franchise Investment Protection Act (WFIPA) for franchises sold in Washington. The addendum modifies the Franchise Agreement and takes effect if the franchise offer is accepted in Washington, the purchaser is a Washington resident, or the franchised business will operate in Washington.

In the event of conflicting laws, the WFIPA (chapter 19.100 RCW) will take precedence over the Franchise Agreement. Additionally, RCW 19.100.180, which concerns the Franchisee Bill of Rights, may supersede provisions in the Franchise Agreement or related agreements regarding the franchisee's relationship with Angry Chickz, particularly in areas like termination and renewal. Court decisions may also override the Franchise Agreement concerning the franchisee's relationship with the franchisor, and franchise agreement provisions are subject to state law.

The addendum also specifies that for any arbitration or mediation involving a franchise purchased in Washington, the location for such proceedings will be in Washington, or a location mutually agreed upon, or as determined by the arbitrator or mediator. Furthermore, if litigation is not precluded by the Franchise Agreement, a franchisee can bring legal action related to the sale of franchises or violations of the WFIPA in Washington. Any release or waiver of rights in the Franchise Agreement that requires a franchisee to waive compliance with the WFIPA is void unless it meets specific conditions, such as being part of a negotiated settlement with independent legal representation, as per RCW 19.100.220(2).

Statements, questionnaires, or acknowledgments signed by a franchisee cannot waive claims under state franchise law, including fraud, or disclaim reliance on statements made by Angry Chickz or its representatives. Any provision prohibiting a franchisee from communicating with regulators is inconsistent with the Franchise Disclosure Document and unlawful under RCW 19.100.180(2)(h). The FDD also advises franchisees to carefully evaluate information provided by franchise brokers, who are defined under the WFIPA as individuals engaged in the business of offering or selling franchises and represent the franchisor for a fee.

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.