What right do I waive regarding challenging the terms of the Beard Papas agreement?
Beard_Papas Franchise · 2025 FDDAnswer from 2025 FDD Document
Amendments to the Beard Papa's Franchise Disclosure Document
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- THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS. IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU.
- A. A prohibition of your right to join an association of franchisees.
- B. A requirement that you assent to a release, assignment, novation, waiver or estoppel that deprives you of rights and protections provided in this act. This shall not preclude you, after entering into a Franchise Agreement, from settling any and all claims.
Source: Item 23 — RECEIPTS (FDD pages 58–275)
What This Means (2025 FDD)
According to the 2025 Beard Papas Franchise Disclosure Document, a Michigan franchisee cannot be forced to waive certain rights and protections. Specifically, the Michigan FDD Amendment states that a Beard Papas franchisee cannot be required to assent to a release, assignment, novation, waiver, or estoppel that deprives them of rights and protections provided in the Michigan Franchise Investment Law. However, this does not prevent a franchisee from settling claims after entering into the Franchise Agreement.
This means that any clause in the Beard Papas franchise agreement that attempts to force a Michigan franchisee to broadly waive their legal rights under the state's franchise law is void and unenforceable. This protection ensures that franchisees retain their ability to pursue legal remedies for violations of the Michigan Franchise Investment Law, preventing Beard Papas from using the franchise agreement to shield itself from liability.
It is important to note that this protection is specific to Michigan franchise law. Franchisees in other states may not have the same level of protection against waivers of their legal rights. Therefore, prospective Beard Papas franchisees should carefully review the franchise agreement and any applicable state laws to understand their rights and obligations.