Under the Illinois Franchise Disclosure Act, can a Buildingstars franchisee waive compliance with the Act or any other Illinois law?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
In conformance with section 41 of the Illinois Franchise Disclosure Act, any condition, stipulation or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void.
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 any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPT (FDD pages 43–217)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, specifically the State Law Addenda for Illinois, any attempt to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law is void. This protection is in place to ensure that franchisees are not pressured into relinquishing their legal rights under Illinois law. This provision is in conformance with section 41 of the Illinois Franchise Disclosure Act.
This means that even if a Buildingstars franchise agreement contains language that appears to waive a franchisee's rights, that language is unenforceable in Illinois. This protection extends to any condition, stipulation, or provision that could be interpreted as a waiver. Furthermore, any statement, questionnaire, or acknowledgement signed by a franchisee cannot waive claims under state franchise law, including claims of fraud, or disclaim reliance on statements made by Buildingstars.
This safeguard is significant for prospective Buildingstars franchisees in Illinois. It ensures that they retain all rights and protections afforded by Illinois law, regardless of any potentially conflicting terms in the franchise agreement. Franchisees should be aware of this protection and consult with an attorney if they believe their rights are being compromised.