factual

If a Bonchon franchisee sues in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law, what is the deadline for bringing these claims after the grant of the Franchise?

Bonchon Franchise · 2025 FDD

Answer from 2025 FDD Document

ITEM 17. RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION

    1. A franchisee may sue in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. Any claims arising under the Maryland Franchise Registration and Disclosure Laws must be brought within three years after the grant of the Franchise.

Source: Item 23 — RECEIPTS (FDD pages 92–536)

What This Means (2025 FDD)

According to Bonchon's 2025 Franchise Disclosure Document, a franchisee in Maryland has a limited time to bring claims under the Maryland Franchise Registration and Disclosure Law. Specifically, any such claims must be initiated within three years after the franchise is granted. This timeframe is crucial for prospective franchisees to understand, as it sets a firm deadline for pursuing legal action related to franchise registration and disclosure issues.

This provision is outlined in the Maryland Addendum to the Disclosure Document, which supersedes any conflicting terms in the standard Franchise Disclosure Document or Franchise Agreement. This means that even if other parts of the agreement suggest different timelines or conditions, the three-year limit specifically applies to claims under Maryland's franchise law.

For a potential Bonchon franchisee in Maryland, this means that if they believe Bonchon has violated the Maryland Franchise Registration and Disclosure Law, they must take legal action within three years of receiving the franchise. Missing this deadline could result in the franchisee losing their right to sue for these specific claims. It is advisable for franchisees to consult with an attorney to fully understand their rights and obligations under Maryland law and to ensure timely action if a legal claim arises.

Disclaimer: This information is extracted from the 2025 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.