Does the Azal Coffee franchise agreement addendum for Hawaii specify any exceptions to the standard franchise agreement?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
HAWAII
- The following is in addition to the disclosure in Item 8 of the Franchise Disclosure Document:
The requirement for you to purchase products from us or some other entity as we designate in writing, may be unlawful under Hawaii Law. If, and to the extent, that requirement is found to be unlawful, that requirement will be void (to the extent unlawful) and you must purchase those products from approved suppliers.
- The following is in addition to the disclosure in Item 17 of the Franchise Disclosure Document:
Any release signed by you as a condition of renewal or transfer will not exclude claims you may have under the Hawaii Investment Law
Source: Item 23 — RECEIPTS (FDD pages 51–204)
What This Means (2024 FDD)
According to the 2024 Azal Coffee Franchise Disclosure Document, there are specific addenda for Hawaii that address exceptions to the standard franchise agreement.
The FDD indicates that the requirement for franchisees to purchase products from Azal Coffee or a designated supplier may be unlawful under Hawaii law. If this requirement is found to be unlawful, it will be void, and the franchisee will be required to purchase products from approved suppliers instead. This modification ensures compliance with Hawaii's legal requirements.
Additionally, any release signed by the franchisee as a condition of renewal or transfer will not exclude claims they may have under the Hawaii Investment Law. This provision protects the franchisee's rights under Hawaii's specific investment regulations, ensuring that they do not inadvertently waive their rights when renewing or transferring the franchise. These stipulations are important for prospective franchisees in Hawaii to understand, as they provide additional legal protections specific to the state.