Does the Bft franchise agreement supersede any other term of any document executed in connection with the franchise regarding the waiver of claims under state franchise law?

According to the 2025 Bft Franchise Disclosure Document, for franchisees in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, or Wisconsin, the franchise agreement supersedes any other document regarding the waiver of claims under state franchise law. Specifically, any statement, questionnaire, or acknowledgment signed by a franchisee cannot waive claims under state franchise law, including claims of fraud. This also means a franchisee cannot disclaim reliance on statements made by Bft or its representatives.

This protection ensures that franchisees in the listed states retain their rights under state franchise laws, regardless of any agreements they may sign during the commencement of the franchise relationship. This is particularly relevant in states with strong franchise protection laws, as it prevents Bft from circumventing these laws through contractual clauses. The provision aims to protect franchisees from unknowingly or unintentionally waiving their legal rights.

For prospective Bft franchisees in these states, this addendum provides an additional layer of security. It means that even if certain documents contain language that appears to waive their rights, those clauses will not be enforceable to the extent they conflict with state franchise laws. Franchisees should still carefully review all documents and seek legal advice, but this provision offers reassurance that their fundamental rights are protected. This is a beneficial term for franchisees, as it prevents unintentional or coerced waivers of their legal rights under state franchise laws.