Does the Burneys Sweets More franchise agreement in Virginia include an additional statement?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
In recognition of the restrictions contained in Section 13.1-564 of the Virginia Retail Franchising Act, the Franchise Disclosure Document for DMG BURNEY INC. for use in the Commonwealth of Virginia shall be amended as follows:
Additional Disclosure. The following statements are added to Item 17.h.
Under Section 13.1-564 of the Virginia Retail Franchising Act, it is unlawful for a franchisor to cancel a franchise without reasonable cause. If any grounds for default or termination stated in the franchise agreement does not constitute "reasonable cause," as that term may be defined in the Virginia Retail Franchising Act or the laws of Virginia, that provision may not be enforceable.
The following statement is added to the Franchise Agreement:
No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to the 2025 Burneys Sweets More Franchise Disclosure Document, the franchise agreement for use in Virginia includes additional statements to comply with the Virginia Retail Franchising Act. These statements are added to Item 17.h of the Franchise Disclosure Document and to the Franchise Agreement itself.
Specifically, the additional disclosure states that it is unlawful for Burneys Sweets More to cancel a franchise without reasonable cause, as defined by the Virginia Retail Franchising Act. If any grounds for default or termination stated in the franchise agreement do not constitute "reasonable cause" under Virginia law, that provision may not be enforceable. This protects the franchisee from arbitrary termination.
Furthermore, the Burneys Sweets More franchise agreement includes a statement ensuring that no agreement signed by the franchisee waives claims under state franchise law, including fraud in the inducement, or disclaims reliance on statements made by the franchisor. This provision supersedes any other conflicting terms in any document related to the franchise, reinforcing the franchisee's rights under Virginia law.