factual

What effect do statements, questionnaires, or acknowledgments signed by a Batteries Plus Bulbs franchisee have on waiving claims under state franchise law?

Batteries_Plus_Bulbs Franchise · 2025 FDD

Answer from 2025 FDD Document

s' notice of termination (with 60 days to cure) and 180 days' notice for nonrenewal of the Franchise Agreement.

    1. Exhibit G. 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.

Minnesota Statutes Section 80C.21 and Minnesota Rule 2860.4400J prohibit us from requiring litigation to be conducted outside Minnesota. To the extent a dispute is subject to litigation (and not arbitration or mediation), nothing in the disclosure document or Franchise Agreement can eliminate or reduce any of your rights to any procedure, forum or remedies provided for by the laws of the jurisdiction."

MINNESOTA ADDENDUM TO MULTIPLE UNIT FRANCHISE AGREEMENT

This Addendum relates to franchises sold in Minnesota and is intended to comply with Minnesota statutes and regulations. In consideration of the execution of the Multiple Unit Franchise Agreement (the "Agreement"), Franchisor and Multiple Unit Franchisee agree to amend the Agreement as follows:

  1. Licensed Marks – Indemnification. Section 9 of the Multiple Unit Franchise Agreement is amended to include the following language:

Franchisor will indemnify a Minnesota Multiple Unit Franchisee for damages for which such Multiple Unit Franchisee is held liable in any proceeding arising out of the use of the "Batteries Plus" mark, provided that Multiple Unit Franchisee has used the mark properly and has notified Franchisor of any claim against Multiple Unit Franchisee within ten (10) days of Multiple Unit Franchisee's knowledge of such claim. Franchisor will have sole control of any litigation involving the Licensed Marks. Franchisor's indemnification obligation will not apply to any Multiple Unit Franchisee residing outside the state of Minnesota who purchases a franchise to be located outside of Minnesota.

    1. Application of Minnesota Law. Section 13 of the Agreement is amended by adding the following sentences at the end of such Section: "Minnesota law provides franchisees with certain termination and nonrenewal rights. Minnesota Statutes Section 80C.14, subds. 3, 4 and 5 require, except in certain specified cases, that a Multiple Unit Franchisee be given 90 days' notice of termination (with 60 days to cure)."
      1. Venue. Section 18(D) of the Agreement is deleted.
    1. Acknowledgments. 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.
    1. Construction. In all other respects, the Multiple Unit Franchise Agreement will be construed and enforced with its terms.
BATTERIES PLUS, L.L.C. MULTIPLE UNIT FRANCHISEE:
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MINNESOTA ADDENDUM TO FRANCHISE AGREEMENT

This Addendum relates to franchises sold in Minnesota and is intended to comply with Minnesota statutes and regulations. In consideration of the execution of the Franchise Agreement, Franchisor and Franchisee agree to amend the Franchise Agreement as follows:

1.

Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 49–53)

What This Means (2025 FDD)

According to the 2025 Batteries Plus Bulbs Franchise Disclosure Document, addenda for several states (Minnesota, New York, Maryland, Illinois, Virginia) address the effect of statements, questionnaires, or acknowledgments signed by a franchisee regarding waivers of claims under state franchise law. Specifically, these addenda state that no such document signed by a franchisee in connection with starting the franchise can waive claims under applicable state franchise law. This includes claims of fraud in the inducement or disclaiming reliance on statements made by Batteries Plus Bulbs or its representatives.

For a prospective Batteries Plus Bulbs franchisee, this means that signing a statement, questionnaire, or acknowledgment during the initial phase of establishing the franchise does not prevent them from pursuing claims under state franchise law. This protection extends to claims like fraud, where the franchisee alleges they were misled into investing in the franchise. It also ensures that franchisees can rely on statements made by Batteries Plus Bulbs during the sales process, even if later documents seem to contradict those statements.

This provision is particularly important because it overrides any conflicting terms in other franchise documents. Batteries Plus Bulbs franchisees should be aware of this protection, especially when operating in Minnesota, New York, Maryland, Illinois, and Virginia. It is advisable to consult with a legal professional to fully understand their rights and protections under the franchise agreement and applicable state laws.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.