For a Care Plus Medical Ucc franchise purchased in Washington, where must arbitration take place?
Care_Plus_Medical_Ucc Franchise · 2024 FDDAnswer from 2024 FDD Document
In any arbitration involving a franchise purchased in Washington, the arbitration site shall be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator.
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.
A release or waiver of rights executed by a franchisee shall not include rights under the Washington Franchise Investment Protection Act except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. Provisions such as those which unreasonably restrict or limit the statute of limitation period for claims under the Act, rights or remedies under the Act such as a right to a jury trial may not be enforceable.
Source: Item 22 — CONTRACTS (FDD page 41)
What This Means (2024 FDD)
According to the 2024 Care Plus Medical Ucc Franchise Disclosure Document, if a franchisee purchases a franchise in Washington, the arbitration site must be in the state of Washington. However, the arbitration site can be a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator. This stipulation is outlined in the Washington Addendum to the Disclosure Document and Rider to Franchise and Multi-Unit Development Agreement.
This addendum also states that Washington's state statutes (RCW 19.100.180) and court decisions may supersede the franchise agreement, especially concerning termination and renewal rights. Furthermore, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will prevail in the event of a conflict of laws.
It is important to note that any release or waiver of rights by a Care Plus Medical Ucc franchisee in Washington cannot include rights under the Washington Franchise Investment Protection Act unless it is part of a negotiated settlement after the franchise agreement is in effect and both parties are represented by independent counsel. Provisions that unreasonably restrict the statute of limitations for claims or rights under the Act may not be enforceable.