factual

Is the Maryland Addendum for Bumble Roofing a standalone agreement, or is it connected to another agreement?

Bumble_Roofing Franchise · 2025 FDD

Answer from 2025 FDD Document

[Item 17: RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION]

    1. Any capitalized terms that are not defined in this Addendum shall have the meaning given them in the Franchise Agreement.
    1. Except as expressly modified by this Addendum, the Franchise Agreement remains unmodified and in full force and effect.

This Addendum is being entered into in connection with the Franchise Agreement. In the event of any conflict between this Addendum and the Franchise Agreement, the terms and conditions of this Addendum shall apply.

IN WITNESS WHEREOF, the undersigned have executed this Addendum as of the date Franchisor signs below.

BUMBLE ROOFING FRANCHISOR, LLC Its: Its:

MARYLAND ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT

Special Risks Page, Additional Disclosures

Ownership Change: The franchisor recently had a change of ownership. The support provided by the franchisor may be different from previous owners. Therefore, the expenses related to operating the franchise and the potential revenue you might achieve may be different from past performance.

Item 5

Based upon the franchisor's financial condition, the Maryland Securities Commissioner has required a financial assurance. Therefore, all initial fees and payments owed by franchisees shall be deferred until the franchisor completes its pre-opening obligations under the franchise agreement.

Item 17, Additional Disclosures:

Our termination of the Franchise Agreement because of your bankruptcy may not be enforceable under applicable federal law (11 U.S.C.A. 101 et seq.).

You may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law.

Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within 3 years after the grant of the franchise.

The general release required as a condition of renewal, sale and/or assignment/transfer will not apply to any liability under the Maryland Franchise Registration and Disclosure Law.

This franchise agreement provides that disputes are resolved through arbitration. A Maryland franchise regulation states that it is an unfair or deceptive practice to require a franchisee to waive its right to file a lawsuit in Maryland claiming a violation of the Maryland Franchise Law. In light of the Federal Arbitration Act, there is some dispute as to whether this forum selection requirement is legally enforceable.


[Item 17: RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION]

MARYLAND ADDENDUM TO AGGREGATE REPORTING ADDENDUM TO FRANCHISE AGREEMENT

To the extent the Maryland Franchise Registration and Disclosure Law, Md. Code Bus. Reg. §§14- 201 – 14-233 applies, the terms of this Addendum apply.

  1. Notwithstanding anything to the contrary contained in the Aggregate Reporting Addendum to the Franchise Agreement, to the extent that the Aggregate Reporting Addendum contains provisions that are inconsistent with the following, such provisions are hereby amended:

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 any liability incurred under the Maryland Franchise Registration and Disclosure Law.

Pursuant to COMAR 02.02.08.16L, the general release required as a condition of sale shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.

This Addendum is being entered into in connection with the Aggregate Reporting Addendum to the Franchise Agreement. In the event of any conflict between this Addendum and the Aggregate Reporting Addendum to the Franchise Agreement, the terms and conditions of this Addendum shall apply.

IN WITNESS WHEREOF, the undersigned have executed this Addendum as of the date Franchisor signs below.

BUMBLE ROOFING FRANCHISOR, LLC Its: Its:

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–45)

What This Means (2025 FDD)

According to Bumble Roofing's 2025 Franchise Disclosure Document, there are two Maryland addenda. One Maryland Addendum is connected to the Franchise Agreement, while the other Maryland Addendum is connected to the Aggregate Reporting Addendum to the Franchise Agreement.

The Maryland Addendum to the Franchise Agreement modifies the original agreement. Any terms not specifically defined in the addendum will have the same meaning as in the Franchise Agreement. Unless explicitly changed by the addendum, the original Franchise Agreement remains in effect. In case of conflicts between the addendum and the Franchise Agreement, the addendum's terms will take precedence.

The Maryland Addendum to the Aggregate Reporting Addendum to the Franchise Agreement modifies the Aggregate Reporting Addendum. This addendum addresses potential inconsistencies with the Maryland Franchise Registration and Disclosure Law. It clarifies that any requirements for franchisees to release liability do not act as a waiver of liability under Maryland law. This addendum also states that the general release required for sale does not apply to liability under the Maryland Franchise Registration and Disclosure Law. In the event of conflicts, the terms of this addendum will govern.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.