Under what circumstances can Best Brains franchisees seek treble damages in Washington?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Waiver of Exemplary & Punitive Damages.
RCW 19.100.190 permits franchisees to seek treble damages under certain circumstances.
Accordingly, provisions contained in the franchise agreement or elsewhere requiring franchisees to waive exemplary, punitive, or similar damages are void, except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel, in accordance with RCW 19.100.220(2).
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, franchisees operating in Washington State have the right to seek treble damages under specific conditions, as permitted by RCW 19.100.190. However, any provisions within the franchise agreement that require franchisees to waive their right to claim exemplary, punitive, or similar damages are considered void.
There is an exception to this rule. A franchisee can waive their right to seek such damages if the waiver is part of a negotiated settlement reached after the franchise agreement has already taken effect. In this case, the waiver is only valid if both parties, Best Brains and the franchisee, are represented by independent legal counsel during the negotiation of the settlement, in accordance with RCW 19.100.220(2).
This means that Best Brains franchisees in Washington retain the right to pursue treble damages unless they knowingly and voluntarily waive that right as part of a settlement agreement, with the protection of independent legal representation. This provision aims to protect franchisees from being forced to give up their legal rights at the outset of the franchise relationship.