What is the statute that the Washington addendum to the Buns On Fire FDD references?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT FOR THE STATE OF WASHINGTON
In recognition of the requirements of the Washington Franchise Investment Protection Act, Wash. Rev. Code §§ 19.100.180, the Franchise Disclosure Document for Buns on Fire, in connection with the offer and sale of franchises for use in the State of Washington shall be amended to include the following:
- Item 17, "Renewal, Termination, Transfer and Dispute Resolution," shall be amended by the addition of the following paragraphs at the conclusion of the Item:
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 addendum references the Washington Franchise Investment Protection Act. Specifically, it cites Wash. Rev. Code §§ 19.100.180. This statute may supersede the franchise agreement in the franchisee's relationship with Buns On Fire, particularly in areas of termination and renewal. Court decisions may also supersede the license agreement in these areas.
For a Buns On Fire franchisee in Washington, this means that certain provisions of the franchise agreement may not be fully enforceable if they conflict with Washington state law. The addendum also specifies that in any arbitration involving a franchise purchased in Washington, the arbitration site must be in Washington, or a place mutually agreed upon, or as determined by the arbitrator. Furthermore, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will prevail in the event of a conflict of laws.
The addendum clarifies that a release or waiver of rights executed by a franchisee cannot include rights under the Washington Franchise Investment Protection Act unless it is part of a negotiated settlement after the agreement is in effect and both parties are represented by independent counsel. Provisions that unreasonably restrict the statute of limitations for claims under the Act 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 estimated or actual costs in effecting a transfer.
This addendum serves to protect the rights of Buns On Fire franchisees in Washington by ensuring that state law takes precedence over conflicting terms in the franchise agreement. It is common practice for franchise agreements to include state-specific addenda to comply with local franchise laws, which vary significantly from state to state.