What is the statute of limitations for bringing a claim arising under the Maryland Franchise Registration and Disclosure Law for a Belocal franchise?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
- d. The limitation on the period of time when mediation and/or arbitration claims must be brought will not act to reduce the three-year statute of limitations afforded Franchisee for bringing a claim arising under the Law. Any claims arising under the Law must be brought within three years after the grant of the franchise.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to the 2025 Belocal FDD, a franchisee has three years to bring a claim arising under the Maryland Franchise Registration and Disclosure Law. This limitation period starts after the grant of the franchise. This is explicitly stated to take precedence over any other limitations on mediation or arbitration claims within the franchise agreement.
This provision ensures that Belocal franchisees in Maryland have a legally protected timeframe to address potential violations of state franchise law. The three-year statute of limitations provides a window for franchisees to assess their business operations, identify any discrepancies or legal issues, and pursue legal remedies if necessary.
It is important for prospective Belocal franchisees in Maryland to understand this three-year limitation. Franchisees should consult with an attorney to fully understand their rights and obligations under Maryland law and to ensure timely action if they believe a violation has occurred. This addendum aims to protect franchisees' rights under Maryland law, preventing them from inadvertently waiving their ability to bring claims within the statutory period.