factual

What is the C12 Group's stated purpose for avoiding public legal action in dispute resolution?

C12_Group Franchise · 2025 FDD

Answer from 2025 FDD Document

Pursuant to RCW 19.100.180 (2)(g) and RCW 19.100.220(2), the following language in Section XII of the Franchise Agreement shall not apply to Washington franchisees:

"Specifically, Franchisee agrees to not pursue public legal action, which serves to generate great expense, compromises the parties' joint stewardship responsibilities before the Lord, and negatively impacts the parties' joint ability to cost-effectively resolve disagreements biblically."

Source: Item 22 — CONTRACTS (FDD page 46)

What This Means (2025 FDD)

According to the 2025 FDD, C12 Group's Franchise Agreement includes a clause discouraging franchisees from pursuing public legal action. The stated reasons are that such action tends to generate great expense, compromises the parties' joint stewardship responsibilities, and negatively impacts the ability to cost-effectively resolve disagreements.

However, this clause does not apply to franchisees in Washington state. The FDD specifies that, pursuant to Washington state law, this particular section of the Franchise Agreement is not applicable to franchisees operating in Washington.

This means that while C12 Group generally prefers to avoid public legal battles due to the associated costs and impacts on dispute resolution, franchisees outside of Washington are not bound by this preference and retain their right to pursue legal action if necessary.

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.