If the Multi-Unit Agreement or Franchise Agreement for Bft contains a provision inconsistent with California Business and Professions Code Sections 20000 through 20043, which law will control?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
California Business and Professions Code Sections 20000 through 20043 provide rights to the franchisee concerning termination, transfer or nonrenewal of a franchise. If the Multi-Unit Agreement or Franchise Agreement contain a provision that is inconsistent with the law, and the law applies, the law will control.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–66)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, California Business and Professions Code Sections 20000 through 20043 provide specific rights to franchisees regarding termination, transfer, or nonrenewal of a franchise. If any provision within the Multi-Unit Agreement or Franchise Agreement is inconsistent with these sections of the California law, then the California law will take precedence and control the matter, assuming the law is applicable.
This means that Bft franchisees in California are entitled to the protections afforded by California Business and Professions Code Sections 20000 through 20043, regardless of what the franchise agreement might state. For example, if the franchise agreement contains terms about termination that conflict with the California Franchise Relations Act, the Act's provisions would govern the termination process.
Prospective Bft franchisees should carefully review the Franchise Agreement and Multi-Unit Agreement, specifically focusing on the sections addressing termination, transfer, and renewal, to ensure full awareness of their rights under California law. Consulting with a legal professional experienced in franchise law is advisable to fully understand the implications of these provisions and how they interact with California Business and Professions Code Sections 20000 through 20043.