Does the Washington addendum modify the Bumper Man Franchise Disclosure Document?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise Disclosure Document, the franchise agreement, and all related agreements regardless of anything to the contrary contained therein. This Addendum applies if: (a) the offer to sell a franchise is accepted in Washington; (b) the purchaser of the franchise is a resident of Washington; and/or (c) the franchised business that is the subject of the sale is to be located or operated, wholly or partly, in Washington.
Section 20 of the Franchise Agreement will be supplemented by the addition of the following sentence at the end of the first paragraph: "Franchisee has no obligation to indemnify or hold harmless an indemnified party for losses to the extent that they are determined to have been caused
solely and directly by the indemnified party's negligence, willful misconduct, strict liability, or fraud."
- Noncompetition Covenants. Pursuant to RCW 49.62.020, a noncompetition covenant is void and unenforceable against an employee, including an employee of a franchisee, unless the employee's earnings from the party seeking enforcement, when annualized, exceed $100,000 per year (an amount that will be adjusted annually for inflation). In addition, a noncompetition covenant is void and unenforceable against an independent contractor of a franchisee under RCW 49.62.030 unless the independent contractor's earnings from the party seeking enforcement, when annualized, exceed $250,000 per year (an amount that will be adjusted annually for inflation). As a result, any provisions contained in this Agreement or elsewhere that conflict with these limitations are void and unenforceable in Washington.
RCW 49.62.060 prohibits a franchisor from restricting, restraining, or prohibiting a franchisee from (i) soliciting or hiring any employee of a franchisee of the same franchisor or (ii) soliciting or hiring any employee of the franchisor. As a result, any such provisions contained in this Agreement or elsewhere are void and unenforceable in Washington.
- Questionnaires and Acknowledgments. Section 26(d) of the Franchise Agreement does not apply to residents of the State of Washington.
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 Washington addendum does modify the Franchise Disclosure Document, the franchise agreement, and all related agreements. This modification applies if the offer to sell a Bumper Man franchise is accepted in Washington, if the purchaser is a resident of Washington, or if the franchised business is to be located or operated in Washington.
Specifically, the Washington addendum addresses noncompetition covenants, stating that any provisions conflicting with limitations set by Washington law (RCW 49.62.020 and RCW 49.62.030) are void and unenforceable in Washington. These laws relate to employee and independent contractor earnings thresholds for noncompetition agreements. For employees, earnings must exceed $100,000 per year (adjusted annually for inflation), and for independent contractors, earnings must exceed $250,000 per year (also adjusted annually for inflation). The addendum also states that Section 26(d) of the Franchise Agreement does not apply to residents of Washington.
Furthermore, the Washington addendum clarifies that Bumper Man is prohibited from restricting a franchisee from soliciting or hiring any employee of another Bumper Man franchisee or any employee of Bumper Man itself, and any conflicting provisions are void and unenforceable in Washington. Section 20 of the Franchise Agreement is also modified to state that the franchisee is not obligated to indemnify or hold harmless an indemnified party for losses caused solely and directly by the indemnified party's negligence, willful misconduct, strict liability, or fraud.
These modifications ensure that the Bumper Man franchise agreement complies with Washington state law, particularly regarding non-compete agreements and franchisee rights. Prospective franchisees in Washington should carefully review the addendum to understand how it alters the standard franchise agreement and what rights and protections it provides under Washington law.