In the event of a conflict of laws regarding a Brueggers Bagels franchise in Washington, which law will prevail?

According to Brueggers Bagels's 2025 Franchise Disclosure Document, the Washington Franchise Investment Protection Act will prevail in the event of a conflict of laws. This protection is outlined in the Washington Addendum to the License Agreement, the Washington Addendum to the Franchise Agreement, and the Washington Addendum to the Development Agreement. The specific statute that takes precedence is Chapter 19.100 RCW. This ensures that franchisees operating in Washington are subject to the protections and regulations provided by Washington state law.

This provision is significant for prospective Brueggers Bagels franchisees in Washington because it means that the terms of the franchise agreement will be interpreted and enforced in accordance with Washington law, particularly the Washington Franchise Investment Protection Act. This Act covers various aspects of the franchise relationship, including termination, renewal, and dispute resolution. Franchisees can rely on the protections afforded by this Act, even if the franchise agreement contains conflicting provisions.

Furthermore, the FDD states that RCW 19.100.180 may supersede the franchise agreement in areas of termination and renewal, and court decisions may also supersede the franchise agreement in those areas. This means that certain clauses in the franchise agreement that conflict with Washington law may not be enforceable. This addendum helps to protect the franchisee's rights under Washington law, ensuring a fairer balance of power between the franchisor and franchisee.

In addition, the addendum specifies that any arbitration or mediation involving a franchise purchased in Washington must take place in Washington, unless otherwise agreed upon. This requirement ensures that disputes are resolved in a location convenient for the franchisee and under the jurisdiction of Washington law. This provision, along with the others, underscores the importance of understanding state-specific franchise laws when investing in a franchise.