For Bonchon franchises, does the integration clause in Section 26.01 of the Franchise Agreement act as a release of liability under the Maryland Franchise Registration and Disclosure Law?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
The following language is added to the second sentence of Section 26.01 of the Franchise Agreement ("Integration of Agreement"): "provided, however, that the previous language is not intended to, nor will it, act as a release, estoppel or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law."
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the integration clause in Section 26.01 of the Franchise Agreement does not act as a release of liability under the Maryland Franchise Registration and Disclosure Law. A specific addendum for Maryland franchises clarifies this point.
The Maryland Addendum to the Franchise Agreement explicitly states that the language in Section 26.01 is not intended to, nor will it, act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. This ensures that franchisees in Maryland retain their rights and protections under Maryland franchise law, regardless of the integration clause in the standard agreement.
This provision is further reinforced by additional clauses within the Maryland Addendum that address waivers and releases in other sections of the Franchise Agreement, such as those related to restaurant location, training programs, successor terms, and assignment by the franchisee. In each of these instances, the addendum clarifies that any release requirements are not intended to waive liability under Maryland franchise law, providing additional protection for Bonchon franchisees in Maryland.