factual

In Washington state, what effect do statements, questionnaires, or acknowledgements signed by an Atwell Suites franchisee have regarding waiving claims under state franchise law or disclaiming reliance on franchisor statements?

Atwell_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. Questionnaires and Acknowledgments. No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee/licensee 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 99–486)

What This Means (2025 FDD)

According to Atwell Suites's 2025 Franchise Disclosure Document, in Washington, any statement, questionnaire, or acknowledgment signed by a franchisee in connection with starting the franchise relationship cannot waive claims under state franchise law, including claims of fraud. These documents also cannot disclaim reliance on statements made by Atwell Suites, its sellers, or anyone acting on its behalf. This rule overrides any conflicting terms in any document related to the franchise agreement.

This protection ensures that Atwell Suites franchisees in Washington retain their legal rights and ability to pursue claims, even if they have signed documents that appear to limit those rights. This is particularly important in cases where franchisees allege they were misled or defrauded during the franchise sales process. The provision aims to prevent franchisors from using standard form agreements to circumvent state franchise laws.

This type of provision is relatively common in franchise agreements, especially in states with strong franchise protection laws. It reflects a broader trend toward protecting franchisees from overreaching by franchisors. Prospective Atwell Suites franchisees in Washington should be aware of this protection, as it can be a valuable safeguard in the event of disputes or legal issues arising from the franchise relationship.

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.