Regarding Brueggers Bagels, what effect will a franchisee's signed statement, questionnaire, or acknowledgement have on waiving claims under state franchise law or disclaiming reliance on the Franchisor?

According to Brueggers Bagels's 2025 Franchise Disclosure Document, a franchisee's signed statement, questionnaire, or acknowledgment will not waive claims under state franchise law or disclaim reliance on the franchisor. This protection is explicitly stated in addenda for franchisees in Maryland, Minnesota, and Washington. These addenda clarify that no document signed in connection with the franchise can waive rights under applicable state franchise laws, including claims related to fraud in the inducement, or disclaim reliance on statements made by Brueggers Bagels or its representatives. This provision supersedes any conflicting terms in other franchise documents.

For prospective Brueggers Bagels franchisees, this means that any attempt by the franchisor to include clauses that might seem to waive your legal rights under state franchise laws or disclaim reliance on the franchisor's statements will be ineffective, at least within those states. This offers a degree of protection against potentially overreaching contractual terms. The specific laws mentioned are the Maryland Franchise Registration and Disclosure Law, Minnesota Franchises Law, and Washington Franchise Investment Protection Act.

It is important to note that these protections are specifically tied to the franchise laws of Maryland, Minnesota, and Washington. Franchisees operating outside these states may not have the same level of protection. Additionally, the addenda often include stipulations that their provisions are effective only if the jurisdictional requirements of the relevant state's franchise laws are met independently, without relying on the addendum itself. This suggests that the underlying franchise agreement must already fall under the purview of these state laws for the addendum to be fully effective.

Prospective franchisees should consult with a legal professional to fully understand their rights and obligations under the franchise agreement and applicable state laws. This is particularly important to determine whether the protections described in the addenda apply to their specific situation and to assess the implications of any clauses that might appear to conflict with these protections.