What law are claims related to the Beauty Bungalows franchise allowed to be brought under in Maryland?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
Item 17 of the FDD and the Franchise Agreement are amended to state: "The general release required as a condition of renewal, sale, and/or assignment/transfer shall not apply to any liability under theMaryland Franchise Registration and Disclosure Law."
Item 17 of the FDD and sections of the Franchise Agreement and Area Development Agreement are amended to state that you may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the Franchise.
Source: Item 22 — CONTRACTS (FDD pages 47–48)
What This Means (2025 FDD)
According to Beauty Bungalows' 2025 Franchise Disclosure Document, franchisees in Maryland can bring lawsuits for claims arising under the Maryland Franchise Registration and Disclosure Law. This amendment to Item 17 of the FDD and the Franchise Agreement specifically allows franchisees to pursue legal action under this state law.
This provision ensures that Maryland franchisees have the right to seek legal recourse within their own state for any violations of the Maryland Franchise Registration and Disclosure Law. It clarifies that the standard franchise agreement is modified to accommodate this right, overriding any conflicting terms that might otherwise limit a franchisee's ability to sue in Maryland.
Furthermore, any claims under the Maryland Franchise Registration and Disclosure Law must be initiated within three years after the franchise is granted. This time limit is crucial for franchisees to be aware of, as it sets a deadline for pursuing legal claims related to franchise registration and disclosure issues in Maryland.