factual

For Bw Premier Collection, in which states does the 'No Waiver of Disclaimer of Reliance' provision apply?

Bw_Premier_Collection Franchise · 2025 FDD

Answer from 2025 FDD Document

The following are additional disclosures for the Franchise Disclosure Document of Best Western International, Inc. required by various state franchise laws. Each provision of these additional disclosures will not apply unless, with respect to that provision, the jurisdictional requirements of the applicable state franchise registration and disclosure law are met independently without reference to these additional disclosures.

No Waiver of Disclaimer of Reliance in Certain States. The following provision applies only to 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:

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 any 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 23 — Receipts (FDD pages 54–203)

What This Means (2025 FDD)

According to Bw Premier Collection's 2025 Franchise Disclosure Document, the 'No Waiver of Disclaimer of Reliance' provision applies to franchisees and franchises subject to state franchise disclosure laws in specific states. This provision ensures that franchisees in these states cannot waive claims under state franchise law, including claims related to fraud in the inducement. It also prevents franchisees from disclaiming reliance on statements made by the franchisor or its representatives. This protection is significant because it overrides any conflicting terms in the franchise agreement.

The states where this provision is applicable include California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin. This means that if a Bw Premier Collection franchisee operates in any of these states, they retain their rights to pursue legal claims related to the franchise agreement, regardless of any waivers or disclaimers they may have signed.

For a prospective Bw Premier Collection franchisee, this provision offers an added layer of security. It ensures that their legal rights under state franchise laws are protected and cannot be inadvertently waived through standard contract clauses. This is particularly important in states with strong franchise protection laws, as it reinforces the franchisee's ability to hold the franchisor accountable for their representations and actions. Franchisees should consult with a legal professional to fully understand their rights and obligations under 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.