Under what circumstances is the Maryland Addendum to the Bumper Man Franchise Agreement executed?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
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- The provisions of this Addendum for an integral part of and are incorporated into the Franchise Agreement. This Addendum is being executed because (a) the offer or sale of the franchise to Franchisee was made in the State of Maryland; (b) Franchisee is a resident of the State of Maryland; and/or (c) the Bumper Business will be operated in the State of Maryland.
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- Sections 3(b) and 16(d) of the Franchise Agreement will be supplemented by the addition of the following sentence: "However, any release required as a condition of renewal, sale and/or assignment/transfer will not apply to any claims or liability arising under the Maryland Franchise Registration and Disclosure Law."
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- Section 18(a)(iv) of the Franchise Agreement will be supplemented by the addition of the following sentence: "This Section 18(a)(iv) may not be enforceable under federal bankruptcy law (11 U.S.C. §§ 101 et seq.)."
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- Section 24(d) of the Franchise Agreement will be supplemented by the addition of the following sentence: "Franchisee may bring an action in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law."
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- Section 24(e) of the Franchise Agreement will be supplemented by the addition of the following sentence: "Franchisee must bring any claims arising under the Maryland Franchise Registration and Disclosure Law within three years after Franchisor grants Franchisee the franchise."
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- The following is added as a new Section 26(k) to the end of the Franchise Agreement: "All representations requiring Franchisee to assent to a release, estoppel or waiver of liability are not intended to, nor will they, act as a release, estoppel or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law."
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- Sections 26(d) and (e) of the Franchise Agreement are hereby deleted.
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- Except as amended in this Addendum, the Franchise Agreement will be construed and enforced in accordance with its terms.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, the Maryland Addendum is executed under specific circumstances related to the franchisee or the franchise operations being connected to the state of Maryland. The addendum becomes an integral part of the Franchise Agreement when (a) the offer or sale of the franchise was made in Maryland, (b) the franchisee is a resident of Maryland, or (c) the Bumper Man business will be operated in Maryland.
This addendum modifies certain sections of the standard Franchise Agreement to comply with Maryland's franchise laws. For instance, it clarifies that any release required for renewal, sale, or transfer will not apply to claims arising under the Maryland Franchise Registration and Disclosure Law. It also specifies that franchisees can bring actions in Maryland for claims under this law and must do so within three years after the franchise is granted.
Furthermore, the addendum ensures that any representations requiring the franchisee to waive liability will not act as a waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. These modifications provide additional protection to franchisees operating in Maryland, ensuring their rights under state law are preserved. Prospective franchisees should carefully review the entire addendum to understand how it alters the standard Franchise Agreement and what specific rights and obligations it creates under Maryland law.