In Washington, if there are inconsistencies between the Bonchon franchise disclosure document or area development agreement and RCW 19.100.180, which provisions will prevail?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary set forth in the Area Development Agreement, the following provisions will supersede and apply:
If any of the provisions in the franchise disclosure document or area development agreement are inconsistent with the relationship provisions of RCW 19.100.180 or other requirements of the Washington Franchise Investment Protection Act, the provisions of the Act will prevail over the inconsistent provisions of the franchise disclosure document and area development agreement with regard to any area franchise sold in Washington.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, specifically the Washington Addendum to the Area Development Agreement and Franchise Agreement, the provisions of the Washington Franchise Investment Protection Act (RCW 19.100.180) will prevail if there are inconsistencies with any provisions in the franchise disclosure document or the area development agreement. This applies to any Bonchon franchise sold in Washington.
This means that if any part of the franchise agreement or FDD conflicts with the state's franchise laws regarding the franchisee-franchisor relationship, the state law will take precedence. This protection ensures that Bonchon franchisees in Washington are governed by the standards and protections of their local laws, particularly concerning termination and renewal rights.
For a prospective Bonchon franchisee in Washington, this addendum offers significant legal protection. It clarifies that the franchisee's rights under Washington law cannot be overridden by conflicting terms in the franchise agreement. This includes the right to bring legal actions in Washington and the assurance that certain waivers of rights are unenforceable unless specific conditions are met, such as independent legal representation during a negotiated settlement.