What is the effect of the Washington Addendum on the Franchise Disclosure Document for a Beem Light Sauna franchise?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
chise Agreement"). This Rider is annexed to and forms part of the Franchise Agreement. This Rider is being signed because (a) you are domiciled in Rhode Island and the Studio that you will operate under the Franchise Agreement will be located in Rhode Island; and/or (b) any of the offering or sales activity relating to the Franchise Agreement occurred in Rhode Island.
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- GOVERNING LAW. The following is added to the end of Section 16.1 of the Franchise Agreement:
Notwithstanding the foregoing, to the extent required by applicable law, Rhode Island law will apply to claims arising under the Rhode Island Franchise Investment Act.
- CONSENT TO JURISDICTION. The following language is added to the end of Section 16.3(d) of the Franchise Agreement:
Nonetheless, subject to your arbitration obligations, you have the right under the Rhode Island Franchise Investment Act to sue in Rhode Island for claims arising under that law.
IN WITNESS WHEREOF, each of the undersigned has executed this Agreement under seal as of the Effective Date.
BEEM FRANCHISOR LLC (IF ENTITY): [Name] Name: Title: Date: (IF INDIVIDUALS): [Signature] [Print Name] [Signature] [Print Name] Date:
WASHINGTON ADDENDUM TO THE FRANCHISE DISCLOSURE DOCUMENT, THE FRANCHISE AGREEMENT, DEVELOPMENT AGREEMENT, AND RELATED AGREEMENTS
The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise Disclosure Document, the Franchise Agreement, the Development 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.
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna Franchise Disclosure Document, the Washington Addendum modifies the Franchise Disclosure Document, the Franchise Agreement, the Development Agreement, and all related agreements for franchisees in Washington. This addendum is an integral part of these documents and takes effect if the franchise offer is accepted in Washington, if the purchaser is a Washington resident, or if the franchised business will operate in Washington.
Specifically, the Washington Franchise Investment Protection Act (chapter 19.100 RCW) will take precedence in the event of any conflict of laws. Additionally, RCW 19.100.180, which concerns franchisee rights, may supersede provisions in the franchise agreement, especially regarding termination and renewal. Court decisions may also override the franchise agreement concerning the franchisee's relationship with Beem Light Sauna.
Furthermore, any clause in the franchise agreement or related documents that prevents a franchisee from communicating with or complaining to regulators is unlawful under RCW 19.100.180(2)(h), as it contradicts the Franchise Disclosure Document's explicit instructions. The FDD also advises franchisees to carefully evaluate information provided by franchise brokers, who are defined under the Washington Franchise Investment Protection Act as individuals engaged in the business of offering or selling franchises and representing Beem Light Sauna for a fee.