Is Belocal allowed to restrict a franchisee from soliciting or hiring employees of the franchisor in Washington?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
RCW 49.62.060 prohibits a franchisor from restricting, restraining, or prohibiting a franchisee from (i) soliciting or hiring any employee of a franchisee of the same franchisor or (ii) soliciting or hiring any employee of the franchisor. As a result, any such provisions contained in the franchise agreement or elsewhere are void and unenforceable in Washington.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, Belocal is prohibited from restricting a franchisee in Washington from soliciting or hiring employees of Belocal. This protection is explicitly stated in the Washington Addendum to the Franchise Agreement.
Specifically, the FDD references RCW 49.62.060, a Washington state law that prevents franchisors like Belocal from imposing restrictions that would stop a franchisee from soliciting or hiring employees of either another franchisee within the Belocal system or employees of Belocal itself. The FDD emphasizes that any conflicting provisions within the franchise agreement or other related documents are considered void and unenforceable in Washington.
This provision ensures that Belocal franchisees in Washington have the freedom to recruit talent without undue interference from the franchisor, promoting a competitive labor market and potentially benefiting the franchisee's ability to staff their business effectively. This also means that Belocal franchisees are not bound by non-solicitation clauses that might otherwise limit their hiring options within the Belocal network.