factual

What areas of the Buns On Fire franchise agreement might be superseded by RCW 19.100.180?

Buns_On_Fire Franchise · 2025 FDD

Answer from 2025 FDD Document

The state of Washington has a statute, RCW 19.100.180, which may supersede the license agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the license agreement in your relationship with the franchisor including the areas of termination and renewal of your license.

In any arbitration involving a franchise purchased in Washington, the arbitration site shall be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator.

In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.

A release or waiver of rights executed by a franchisee shall not include rights under the Washington Franchise Investment Protection Act except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. Provisions such as those which unreasonably restrict or limit the statute of limitations period for claims under the Act, rights or remedies under the Act such as a right to a jury trial may not be enforceable.

Transfer fees are collectable to the extent that they reflect the franchisor's reasonable estimated or actual costs in effecting a transfer.

Source: Item 23 — RECEIPTS (FDD pages 49–200)

What This Means (2025 FDD)

According to the 2025 Buns On Fire Franchise Disclosure Document, the Washington Franchise Investment Protection Act (RCW 19.100.180) may supersede the franchise agreement in the areas of termination and renewal of the franchise. Additionally, court decisions in Washington may also supersede the license agreement regarding termination and renewal. This means that certain provisions in the Buns On Fire franchise agreement relating to how the franchise can be terminated or renewed may not be enforceable in Washington state if they conflict with the state law.

For a prospective Buns On Fire franchisee in Washington, this addendum provides additional protection under state law. The franchisee should be aware that the standard terms in the franchise agreement regarding termination and renewal might not fully apply in Washington. It is important to understand the specific provisions of RCW 19.100.180 and how they could affect the franchise relationship.

Furthermore, any arbitration involving a Buns On Fire franchise purchased in Washington must occur within the state, unless both parties agree to an alternative location or the arbitrator determines otherwise. In case of conflicting laws, the Washington Franchise Investment Protection Act will take precedence. Franchisees cannot waive their rights under the Washington Franchise Investment Protection Act, unless it is part of a negotiated settlement with independent legal representation after the franchise agreement is already in effect. Provisions that unreasonably restrict the statute of limitations for claims or rights to a jury trial may not be enforceable.

Transfer fees are collectable only to the extent that they reflect Buns On Fire's reasonable costs in facilitating the transfer. This ensures that franchisees are not charged excessive or arbitrary fees for transferring their franchise. This addendum aims to protect franchisees' rights under Washington law, ensuring a fairer balance in the franchisor-franchisee relationship.

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.