What effect do statements, questionnaires, or acknowledgments signed by a franchisee have on waiving claims under state franchise law, including fraud in the inducement, related to a Bumble Roofing franchise?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire, or acknowledgment 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 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–45)
What This Means (2025 FDD)
According to the 2025 Bumble Roofing Franchise Disclosure Document, any statement, questionnaire, or acknowledgment signed by a franchisee at the start of the franchise relationship will not waive claims under state franchise law. This includes claims of fraud in the inducement. This protection is highlighted in addenda for several states, including New York, Washington, Illinois, and Virginia, emphasizing its importance.
This provision ensures that franchisees retain their legal rights and protections under state franchise laws, regardless of any documents signed during the initial franchising process. It specifically prevents Bumble Roofing from using these documents to shield itself from claims of fraud or other violations of state franchise law. This is a significant benefit for franchisees, as it safeguards their ability to seek legal recourse if they believe they have been misled or treated unfairly.
The inclusion of this clause in multiple state-specific addenda suggests that Bumble Roofing is committed to complying with franchise regulations and protecting the rights of its franchisees. Prospective franchisees should carefully review these addenda to understand their rights and protections under the laws of their specific state. This provision supersedes any conflicting terms in the standard franchise agreement, further reinforcing its importance.
For instance, the New York addendum specifies that any provision in the Franchise Agreement inconsistent with the New York General Business Law, Article 33, Sections 680-695 may not be enforceable. Similarly, in Washington, a release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act unless executed pursuant to a negotiated settlement with independent counsel. These state-specific stipulations provide additional layers of protection for Bumble Roofing franchisees.