Does the Buff City Soap Development Agreement include any limitations of claims?
Buff_City_Soap Franchise · 2025 FDDAnswer from 2025 FDD Document
- LIMITATIONS OF CLAIMS. The following is added to the Development Agreement:
Minnesota law provides that no action may be commenced under Minn. Stat. Sec. 80C.17 more than 3 years after the cause of action accrues.
- No statement, questionnaire or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of: (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on behalf of the Franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 6 — , Securities Offering Fee, in the amount column is revised to state the following: (FDD pages 216–303)
What This Means (2025 FDD)
According to the 2025 Buff City Soap FDD, the Development Agreement includes limitations of claims, specifically regarding waivers and disclaimers. For franchisees in Minnesota, no action may be commenced under Minn. Stat. Sec. 80C.17 more than 3 years after the cause of action accrues.
The FDD states that no statement, questionnaire, or acknowledgment signed by a Buff City Soap franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on the franchisor. This provision overrides any conflicting terms in any document related to the franchise agreement. This ensures that franchisees retain their legal rights and protections under applicable state laws, regardless of any agreements they may sign during the franchise commencement.
For Buff City Soap franchisees in Washington, the FDD states that any provisions in the franchise agreement that conflict with limitations regarding non-competition covenants are void and unenforceable. Additionally, Buff City Soap cannot restrict a franchisee from soliciting or hiring employees of other franchisees or the franchisor. This protection ensures that franchisees in Washington have the freedom to hire and solicit employees without facing legal repercussions from the franchisor, promoting a competitive labor environment.
For Buff City Soap franchisees in Maryland, all representations requiring prospective franchisees to assent to a release, estoppel, or waiver of liability are not intended to, nor shall they act as a release, estoppel, or waiver of liability incurred under the Maryland Franchise Registration and Disclosure Law.