How does the Aw franchise agreement addendum modify the 'Limitations of Claims' section for Illinois franchisees?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
- Section 18.7. of the Franchise Agreement on "Limitations of Claims" is amended to read in its entirety as follows:
This provision shall not apply to any claims under the Illinois Franchise Disclosure Act of 1987.
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- Any condition, stipulation or provision in this Agreement or in the Franchisee Disclosure Questionnaire purporting to bind Franchisee to waive compliance with any provision of the Illinois Franchise Disclosure Act or any other law of the State of Illinois is void.
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- The provisions of the Section 3 of the Franchise Agreement on Renewal and Section 15 on Termination of the Franchise are modified by the following:
Franchisee's rights upon Termination and Non-renewal are set forth in Sections 19 and 20 of the Illinois Franchise Disclosure Act.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to the 2025 Aw Franchise Disclosure Document, Section 18.7 of the Franchise Agreement, which pertains to "Limitations of Claims," is amended specifically for franchisees in Illinois. The original provision is entirely replaced with a statement clarifying that it does not apply to any claims made under the Illinois Franchise Disclosure Act of 1987. This modification ensures that Aw franchisees in Illinois retain their rights to pursue claims under the Illinois Franchise Disclosure Act, regardless of any limitations of claims that might be present in the standard franchise agreement.
This change is further reinforced by additional stipulations within the addendum. Any condition, stipulation, or provision in the agreement or Franchisee Disclosure Questionnaire that attempts to bind the franchisee to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law is considered void. This protects the franchisee from inadvertently relinquishing their legal rights under Illinois law.
Moreover, the rights of Aw franchisees in Illinois regarding termination and non-renewal are explicitly governed by Sections 19 and 20 of the Illinois Franchise Disclosure Act. This ensures that the franchisee's rights in these critical areas are determined by Illinois law, providing an additional layer of protection. These modifications collectively strengthen the legal standing of Aw franchisees in Illinois, ensuring their rights are fully protected under state law.