For C12 Group franchises in Washington, what is the effect of a franchisee signing an acknowledgement?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
are hereby deemed to be deleted.
The C12 Group, LLC Print Name: Print Name: Its: Its:
WASHINGTON ADDENDUM TO THE FRANCHISE DISCLOSURE DOCUMENT, FRANCHISE AGREEMENT, AND RELATED AGREEMENTS
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW will prevail.
RCW 19.100.180 may supersede the franchise 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 franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise.
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
Source: Item 23 — RECEIPTS (FDD pages 46–137)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, for prospective franchisees in the State of Washington, any acknowledgement signed by a franchisee regarding the commencement of the franchise relationship does not waive claims under the Washington Franchise Investment Protection Act. This includes protection against fraud in the inducement. This means that even if a franchisee signs a document that appears to waive certain rights, those waivers may not be enforceable under Washington law.
Specifically, a release or waiver of rights executed by a C12 Group franchisee cannot include rights under the Washington Franchise Investment Protection Act unless it is part of a negotiated settlement agreed to after the franchise agreement is already in effect, and both parties are represented by independent legal counsel. Provisions that unreasonably restrict the statute of limitations for claims or limit rights to a jury trial under the Act may also be unenforceable.
Furthermore, the FDD states that Washington's Franchise Investment Protection Act and relevant court decisions may supersede the franchise agreement, particularly in areas of termination and renewal. This ensures that franchisees in Washington are afforded the full protection of their state's franchise laws, regardless of what the standard franchise agreement might stipulate. This is a beneficial protection for franchisees, ensuring that their rights under Washington law are preserved and cannot be unintentionally waived through standard acknowledgements or questionnaires.