What is the effect of the Washington FDD Amendment on the Bee Organized Franchise Disclosure Document?
Bee_Organized Franchise · 2025 FDDAnswer from 2025 FDD Document
may be defined in the Virginia Retail Franchising Act or the laws of Virginia, that provision may not be enforceable.
No statement, questionnaire or acknowledgement 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.
Washington FDD Amendment
Amendments to the Bee Organized Franchise Disclosure Document
The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise Disclosure Document, the franchise agreement, and all related agreements regardless of anything to the contrary contained therein. This Addendum applies if: (a) the offer to sell a franchise is accepted in Washington; (b) the purchaser of the franchise is a resident of Washington; and/or (c) the franchised business that is the subject of the sale is to be located or operated, wholly or partly, in Washington.
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- Conflict of Laws. In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW will prevail.
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- Franchisee Bill of Rights. RCW 19.100.180 may supersede provisions in the franchise agreement or related agreements concerning your relationship with the franchisor, including in the areas of termination and renewal of your franchise. There may also be court decisions that supersede the franchise agreement or related agreements concerning your relationship with the franchisor. Franchise agreement provisions, including those summarized in Item 17 of the Franchise Disclosure Document, are subject to state law.
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- Site of Arbitration, Mediation, and/or Litigation. In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
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- General Release.
Source: Item 23 — RECEIPTS (FDD pages 54–218)
What This Means (2025 FDD)
According to Bee Organized's 2025 Franchise Disclosure Document, the Washington FDD Amendment modifies the Franchise Disclosure Document, the franchise agreement, and all related agreements for franchisees in Washington. This applies if the franchise offer is accepted in Washington, the purchaser is a Washington resident, or the franchised business operates in Washington.
The amendment specifies that the Washington Franchise Investment Protection Act will take precedence in case of conflicting laws. RCW 19.100.180, which concerns franchisee rights, may override parts of the franchise agreement, especially regarding termination and renewal. Court decisions may also supersede the franchise agreement.
Furthermore, for any arbitration or mediation involving a Bee Organized franchise purchased in Washington, the venue must be in Washington or a location agreed upon during the arbitration or mediation process, or as determined by the arbitrator or mediator. The FDD also states that any provision in the franchise agreement or related agreements that prohibits the franchisee from communicating with or complaining to regulators is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h). Franchisees working with franchise brokers are advised to carefully evaluate any information provided by the franchise broker about a franchise.