For C12 Group franchises in Washington, what is the effect of the provision regarding waivers and disclaimers on other terms of documents?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
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 23 — RECEIPTS (FDD pages 46–137)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, for prospective franchisees in Washington, any statement, questionnaire, or acknowledgment signed in connection with starting the franchise cannot waive claims under Washington franchise law, including claims related to fraud. Additionally, franchisees cannot disclaim reliance on statements made by C12 Group or its representatives.
This provision is designed to protect franchisees by ensuring they do not unknowingly give up their legal rights when signing documents at the beginning of their franchise relationship. It specifically states that this protection supersedes any other conflicting terms in any document related to the franchise agreement. This means that even if other parts of the franchise agreement or related documents contain language that could be interpreted as a waiver or disclaimer, those terms will not be enforceable to the extent they conflict with the franchisee's rights under Washington franchise law.
In practical terms, this means a C12 Group franchisee in Washington retains the right to pursue legal claims against the franchisor for violations of the Washington Franchise Investment Protection Act, regardless of any initial agreements suggesting otherwise. This protection helps ensure a fairer balance of power between the franchisor and franchisee, preventing the franchisor from using waivers or disclaimers to avoid accountability for their actions. Franchisees should still consult with an attorney to fully understand their rights and obligations under the franchise agreement and applicable state laws.