Can Card My Yard's decisions apply differently to franchisees?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary set forth in theFranchise Agreement,the following provision will supersede and apply to all franchises offered and sold in the State of Wisconsin:
- The Wisconsin Fair Dealership Law, Chapter 135, Stats. supersedes any provisions of the Franchise Agreement that are inconsistent with that law. FRANCHISOR: CMY FRANCHISING, LLC, a Delaware limited liability company By: Name: Joshua Arnold Title: Chief Executive Officer Date: FRANCHISEE: By: By: By: Name: Name: Name:
Title: Title: Title:
Date: Date: Date:
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, the franchise agreement in Wisconsin will be superseded by The Wisconsin Fair Dealership Law, Chapter 135, Stats. This means that any provisions within the Card My Yard franchise agreement that conflict with Wisconsin's Fair Dealership Law will not be enforced in Wisconsin. This ensures that franchisees in Wisconsin receive the protections afforded to them under state law, regardless of what the standard franchise agreement might state.
Furthermore, Card My Yard retains the right to alter the distribution date of Net Proceeds, providing written notice to franchisees. This allows Card My Yard to adjust payment schedules as needed, potentially impacting the timing of when franchisees receive their earnings. While the FDD stipulates a weekly distribution on Fridays, this is subject to change at Card My Yard's discretion.
When franchisees choose to renew their franchise agreement, they must execute the then-current form, which may differ from the original agreement. The fees on renewal will not be greater than the fees that Card My Yard then imposes on similarly situated renewing franchisees. This indicates that the terms and conditions, including fees, could be different upon renewal, but the renewal fees will be consistent with what other franchisees in similar situations are charged. This ensures some level of fairness and prevents Card My Yard from arbitrarily increasing fees for individual franchisees upon renewal.