What does the Washington addendum supersede regarding statements made by Buns On Fire?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 23: RECEIPTS]
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 Buns On Fire's 2025 Franchise Disclosure Document, the addendum for Washington State addresses how the Washington Franchise Investment Protection Act may supersede the standard franchise agreement. Specifically, RCW 19.100.180, a Washington state statute, has the potential to override the terms and conditions outlined in the franchise agreement between Buns On Fire and its franchisees in Washington. This includes, but is not limited to, aspects related to the termination and renewal of the franchise license.
Additionally, court decisions in Washington may also take precedence over the standard franchise agreement, particularly in matters concerning the termination and renewal of a franchise. This means that the legal landscape in Washington, both statutory and through case law, can modify or invalidate certain provisions of the franchise agreement.
For a prospective Buns On Fire franchisee in Washington, this addendum highlights the importance of understanding the specific protections and regulations provided by Washington law. It also emphasizes that certain standard clauses within the franchise agreement may not be fully enforceable due to state-specific laws and court rulings. Franchisees should seek legal counsel to fully understand their rights and obligations under Washington law, as these may differ from the standard terms outlined in the Buns On Fire franchise agreement.