To what extent is each provision of the Bor Restoration addendum effective?

According to the 2024 Bor Restoration Franchise Disclosure Document, the addendum's provisions are effective only if they independently meet the jurisdictional requirements of the relevant Acts. This means that the enforceability of any specific clause within the addendum is contingent upon compliance with local laws and regulations, suggesting a location-specific approach to the franchise agreement.

The Bor Restoration addendum is designed to take precedence over any conflicting terms within the standard Franchise Agreement or its associated exhibits and attachments. This ensures that the modifications and revisions outlined in the addendum are the governing terms, providing clarity on which provisions apply in case of discrepancies. Franchisees should carefully review the addendum alongside the Franchise Agreement to understand the complete scope of their rights and obligations.

In the state of Maryland, the addendum specifically addresses franchisee rights under the Maryland Franchise Registration and Disclosure Law. It clarifies that franchisees can bring lawsuits under this law within three years of being granted the franchise, and that waivers of liability do not apply to liabilities incurred under this law. Furthermore, acknowledgements in Article 18 of the Franchise Agreement and the Closing Acknowledgement are deleted for Maryland franchisees. These stipulations provide additional protection and legal recourse for franchisees operating in Maryland, ensuring compliance with state-specific franchise regulations.

For franchisees in Colorado who have guarantors, the addendum includes provisions related to the enforcement of applicable law, particularly concerning joint debtors. It states that each guarantor is jointly and severally liable for the entire amount due, regardless of contributions from other guarantors. This clause ensures that Bor Restoration can pursue the full debt from any guarantor, even if other guarantors fail to contribute, which could place a significant financial burden on individual guarantors.

In Minnesota, the addendum acknowledges the requirements of the Minnesota Commission of Securities and Minnesota Rule 2860.4400, et. seq. The document also includes a Collateral Assignment of Contact and Electronic Information agreement, which states that upon expiration, transfer, or termination of the Franchise Agreement, Bor Restoration retains the rights to all contact and electronic information related to the franchisee's business. This ensures that Bor Restoration can maintain customer relationships and business data even after a franchise ceases operation.