If a provision in the Bambu Franchise Agreement contradicts the right to solicit or hire each other's employees as permitted by applicable law in Canada, how is the agreement affected?

According to Bambu's 2025 Franchise Disclosure Document, the Canada Rider to the Franchise Agreement addresses the solicitation and hiring of employees. Specifically, the rider states that if any provision within the Franchise Agreement restricts Bambu or the franchisee from soliciting or hiring each other's employees, and such a restriction is prohibited by applicable law, then that provision is amended to comply with the law.

This means that franchisees operating in Canada are not bound by any clause in the standard Franchise Agreement that would prevent them from hiring or soliciting employees from other Bambu locations or from Bambu itself, to the extent that such restrictions are illegal under Canadian law. This ensures that the franchise agreement complies with Canadian employment laws, which may vary by province.

For a prospective franchisee, this is a beneficial clarification. It confirms that the Bambu franchise agreement will not impose illegal restrictions on their ability to recruit employees. Franchisees should still familiarize themselves with the specific employment laws in their province to fully understand their rights and obligations regarding hiring and solicitation.