In Washington state, can Bambu restrict a franchisee from soliciting or hiring employees of the Bambu franchisor?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
- RCW 49.62.060 prohibits a franchisor from restricting, restraining, or prohibiting a franchisee from (i) soliciting or hiring any employee of a franchisee of the same franchisor or (ii) soliciting or hiring any employee of the franchisor. As a result, any such provisions contained in the Agreement or elsewhere are void and unenforceable in Washington.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, in Washington state, Bambu is prohibited from restricting a franchisee from soliciting or hiring any employee of Bambu. This also applies to soliciting or hiring any employee of a franchisee of the same franchisor. This protection is explicitly stated in the Washington Rider to the Nondisclosure and Noncompetition Agreement. As a result, any provisions within the franchise agreement that conflict with this are considered void and unenforceable in Washington state.
This means that a Bambu franchisee in Washington has the freedom to solicit and hire employees from both Bambu itself and other Bambu franchisees without facing legal repercussions from the franchisor. This is a significant advantage for franchisees looking to build their team, as it expands their potential talent pool.
This provision is based on Washington state law (RCW 49.62.060), which aims to promote employee mobility and competition within the labor market. It is important for prospective franchisees to understand these state-specific regulations, as they can significantly impact their operational practices and hiring strategies. Bambu franchisees in Washington should be aware of this protection and ensure that their hiring practices align with state law.