In the event of a conflict between the terms of an Applicable Rider and the Franchise Agreement for a Bambu franchise, which terms prevail?

According to Bambu's 2025 Franchise Disclosure Document, if there is a conflict between the terms of an Applicable Rider and the Franchise Agreement, the terms of the Rider will take precedence. This means that any specific modifications or additions outlined in the Rider will override the corresponding sections of the standard Franchise Agreement. This ensures that any state-specific regulations or negotiated terms are properly incorporated and enforced.

This clause is included as a condition of registration or use in certain jurisdictions. However, Bambu retains the right to challenge the validity, enforceability, or applicability of these provisions in any legal action related to the Franchise Agreement or its termination.

For a prospective Bambu franchisee, this means it is crucial to carefully review any Riders attached to the Franchise Agreement, as these Riders can significantly alter the standard terms. Understanding the specific modifications outlined in the Riders is essential to fully grasp the rights and obligations under the franchise agreement. Franchisees should pay close attention to any state-specific Riders, as these are designed to ensure compliance with local laws and regulations, and they supersede conflicting terms in the standard agreement.