factual

Is Bombs Away allowed to restrict a franchisee in Washington from soliciting or hiring employees of another franchisee?

Bombs_Away Franchise · 2024 FDD

Answer from 2024 FDD Document

RCW 49.62.060 prohibits a franchisor from restricting, restraining, or prohibiting a franchisee from (i) soliciting or hiring any employee of a franchisee of the same franchisor or (ii) soliciting or hiring any employee of the franchisor. As a result, any such provisions contained in the franchise agreement or elsewhere are void and unenforceable in Washington.

Source: Item 23 — RECEIPTS (FDD pages 36–117)

What This Means (2024 FDD)

According to Bombs Away's 2024 Franchise Disclosure Document, if you operate a franchise in Washington, Bombs Away cannot restrict you from soliciting or hiring employees from another Bombs Away franchisee. This is due to RCW 49.62.060, a Washington state law that explicitly prohibits franchisors from imposing such restrictions. Any provisions in the franchise agreement that conflict with this law are considered void and unenforceable in Washington. This protection extends to both soliciting and hiring employees of other franchisees within the Bombs Away system, as well as employees of Bombs Away itself.

This means that as a Bombs Away franchisee in Washington, you have the freedom to recruit and hire employees from other Bombs Away locations or from Bombs Away corporate, without fear of legal repercussions from the franchisor. This can be a significant advantage in a competitive labor market, allowing you to attract experienced and qualified staff who are already familiar with the Bombs Away system. It also prevents Bombs Away from penalizing you for hiring their employees or those of other franchisees.

However, it's important to note that this protection is specific to Washington state due to RCW 49.62.060. Franchisees in other states may not have the same legal protections, and Bombs Away might be able to enforce non-solicitation or non-hiring agreements in those locations. Therefore, it is crucial to understand the specific laws and regulations in your state regarding non-competition and employee solicitation when evaluating a franchise opportunity.

Prospective franchisees should carefully review the franchise agreement and any state-specific addenda to fully understand their rights and obligations. It is also advisable to consult with an attorney experienced in franchise law to ensure compliance with all applicable regulations and to protect their interests.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.