factual

For franchisees in which specific states does the Franchisee Disclosure Acknowledgment Statement explicitly state it is not intended as a waiver of claims under state franchise law for a Buns On Fire franchise?

Buns_On_Fire Franchise · 2025 FDD

Answer from 2025 FDD Document

For franchisees and franchises that are subject to the state franchise disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington or Wisconsin, this questionnaire is not intended and does not constitute waiver of any claims under any applicable state franchise law, including fraud in the inducement; or a disclaimer of any reliance on any statement made by any person acting on behalf of the Franchisor.

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

What This Means (2025 FDD)

According to the 2025 Buns On Fire Franchise Disclosure Document, the Franchisee Disclosure Acknowledgment Statement explicitly states that it is not intended as a waiver of claims under any applicable state franchise law for franchisees in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington or Wisconsin. This protection extends to claims such as fraud in the inducement and disclaimers of reliance on statements made by the franchisor or their representatives.

This provision ensures that franchisees in these states retain their rights under state franchise laws, regardless of any statements made in the acknowledgment form. It prevents Buns On Fire from using the acknowledgment to circumvent state laws designed to protect franchisees. The FDD also includes state-specific addenda for Minnesota, Rhode Island, Virginia, Indiana, California, Hawaii, Illinois and Maryland that further clarify franchisee rights and franchisor obligations within those states.

For prospective Buns On Fire franchisees in these states, this means that signing the Franchisee Disclosure Acknowledgment Statement does not forfeit their ability to pursue legal claims related to franchise law violations. This offers a degree of security, knowing that their legal rights are preserved despite signing the acknowledgment. Franchisees should still carefully review all documents and seek legal counsel to fully understand their rights and obligations under both the franchise agreement and applicable state laws.

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.