In Indiana, does the Indiana Addendum to the Bonchon Area Development Agreement allow a franchisee to waive claims under applicable state franchise law, including fraud in the inducement, through any statement or acknowledgement?

According to Bonchon's 2025 Franchise Disclosure Document, the Indiana Addendum to the Disclosure Document addresses the waiver of claims. Specifically, it states that no statement, questionnaire, or acknowledgement signed by a franchisee or area developer can waive claims under Indiana state franchise law, including claims of fraud in the inducement. This protection extends throughout the franchise relationship. This provision overrides any conflicting terms in any document related to the franchise agreement.

For a prospective Bonchon franchisee in Indiana, this addendum offers significant protection. It ensures that franchisees cannot inadvertently waive their rights under Indiana franchise law through any document signed during the commencement of the franchise relationship. This includes protection against unknowingly relinquishing claims related to fraud in the inducement, which could arise from misrepresentations made by Bonchon during the franchise sales process.

This type of clause is particularly important because franchise agreements often contain numerous documents and acknowledgements. Without this specific protection, a franchisee might unintentionally waive important legal rights. The Indiana Addendum provides a safeguard, ensuring that franchisees retain their ability to pursue legal remedies under Indiana law if necessary. This protection aligns with the intent of state franchise laws, which aim to protect franchisees from potential overreach by franchisors.