Can a disclaimer signed by a Bath Tune Up franchisee waive a claim of fraud in the inducement?

According to the 2025 Bath Tune Up Franchise Disclosure Document, the franchise agreement stipulates specific conditions regarding disclaimers and waivers, particularly concerning claims under state franchise laws. For franchisees operating in Maryland, any statement, questionnaire, or acknowledgment signed in connection with the franchise commencement cannot waive claims under applicable state franchise law, including claims of fraud in the inducement. This means that even if a franchisee signs a disclaimer, it will not prevent them from pursuing a fraud claim based on misrepresentations made to induce them into the franchise agreement. This provision overrides any other conflicting terms in any document executed in connection with the franchise.

For prospective Bath Tune Up franchisees, this clause offers a degree of protection against potentially misleading information provided during the franchise sales process. It ensures that franchisees retain their legal rights to pursue claims of fraud, regardless of any disclaimers they may have signed. This is particularly important because the initial stages of franchise investment often rely heavily on the franchisor's representations about the potential success and operational aspects of the business.

However, it is important to note that this protection is explicitly mentioned for Maryland. The FDD does not specify whether similar protections apply in other states. Therefore, prospective franchisees should consult with legal counsel to understand their rights and protections under the franchise laws of their specific state. This is a critical step in evaluating the franchise opportunity and mitigating potential risks associated with entering into a franchise agreement with Bath Tune Up.