Does the B Bops franchise agreement allow a franchisee to disclaim reliance on statements made by the franchisor or its representatives?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
To the extent the Minnesota Franchise Act, Minn. Stat. §§80C.01 – 80C.22 applies, the terms of this Addendum apply.
Item 17, Additional Disclosures:
No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee 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 21 — FINANCIAL STATEMENTS (FDD pages 52–53)
What This Means (2025 FDD)
According to the 2025 B Bops Franchise Disclosure Document, the franchise agreement's stance on disclaiming reliance on franchisor statements depends on the state in which the franchise is located. Specifically, for franchises within Minnesota, the FDD includes an addendum that directly addresses this issue.
For Minnesota franchisees, the B Bops franchise agreement explicitly prohibits any statement, questionnaire, or acknowledgment from waiving claims under Minnesota franchise law, including fraud in the inducement. Furthermore, Minnesota B Bops franchisees cannot disclaim reliance on any statement made by the franchisor, franchise seller, or anyone acting on behalf of B Bops. This addendum supersedes any conflicting terms in the franchise agreement, providing additional protection to franchisees in Minnesota.
For prospective B Bops franchisees outside of Minnesota, the FDD excerpt does not provide specific information on whether the franchise agreement allows a franchisee to disclaim reliance on statements made by the franchisor or its representatives. Therefore, it is essential for potential franchisees to carefully review the franchise agreement and consult with a legal professional to understand their rights and obligations in their specific state. They should inquire directly with B Bops about the enforceability of waivers or disclaimers related to franchisor statements in their jurisdiction.