What is the effect of the Washington Addendum on related agreements to the Black Bear Diner franchise agreement?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
FOR THE STATE OF WASHINGTON
Washington Addendum to the Area Development Agreement, Questionnaire, and Related Agreements
The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise Disclosure Document, the franchise agreement, and all related agreements regardless of anything to the contrary contained therein. This Addendum applies if: (a) the offer to sell a franchise is accepted in Washington; (b) the purchaser of the franchise is a resident of Washington; and/or (c) the franchised businessthat isthe subject of the sale isto be located or operated, wholly or partly,inWashington.
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- Conflict of Laws. In the event of a conflict of laws, the provisions of theWashington Franchise Investment Protection Act, chapter 19.100 RCW will prevail.
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- Franchisee Bill of Rights. RCW 19.100.180 may supersede provisions in the franchise agreement or related agreements concerning your relationship with the franchisor, including in the areas of termination and renewal of yourfranchise.
Theremay also be court decisionsthatsupersede the franchise agreement or related agreements concerning your relationship with the franchisor.
Franchise agreement provisions, including those summarizedin Item17oftheFranchiseDisclosure Document, are subject tostate law.
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- Site of Arbitration, Mediation, and/or Litigation. In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
In addition, if litigation is not precluded by the franchise agreement, a franchiseemay bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 23 — RECEIPT (FDD pages 56–243)
What This Means (2025 FDD)
According to the 2025 Black Bear Diner Franchise Disclosure Document, the Washington Addendum modifies the Franchise Disclosure Document, the franchise agreement, and all related agreements for franchises sold or operated in Washington. This addendum becomes an integral part of these documents, superseding any conflicting terms.
Specifically, the Washington Franchise Investment Protection Act (chapter 19.100 RCW) takes precedence in case of conflicting laws. Additionally, RCW 19.100.180, also known as the Franchisee Bill of Rights, may override provisions in the franchise agreement or related agreements concerning the franchisee's relationship with Black Bear Diner, particularly in areas like termination and renewal. Court decisions may also supersede the franchise agreement or related agreements.
Furthermore, the addendum stipulates that any arbitration or mediation involving a franchise purchased in Washington must occur in Washington or a mutually agreed-upon location. Franchisees can also bring legal action in Washington for issues related to the sale of franchises or violations of the Washington Franchise Investment Protection Act, if litigation is not precluded by the franchise agreement. This ensures that Washington franchisees have legal recourse within their own state.