In the event of conflicting laws, which law prevails for a Caring Transitions franchise in Washington?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
) the offer to sell a franchise is accepted in Washington; (b) the purchaser of the franchise is a resident of Washington; and/or (c) the franchised business that is the subject of the sale is to be located or operated, wholly or partly, in Washington.
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- Conflict of Laws. In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW will prevail.
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- Franchisee Bill of Rights. RCW 19.100.180 may supersede provisions in the franchise agreement or related agreements concerning your relationship with the franchisor, including in the areas of termination and renewal of your franchise. There may also be court decisions that supersede the franchise agreement or related agreements concerning your relationship with the franchisor. Franchise agreement provisions, including those summarized in Item 17 of the Franchise Disclosure Document, are subject to state law.
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- Site of Arbitration, Mediation, and/or Litigation. 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. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
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- General Release.
Source: Item 22 — CONTRACTS (FDD page 49)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, if there is a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW, will take precedence. This means that if any part of the franchise agreement clashes with the Washington Franchise Investment Protection Act, the state law will be the governing authority.
This protection extends to specific franchisee rights. RCW 19.100.180 may override aspects of the franchise agreement related to the franchisee's relationship with Caring Transitions, especially concerning termination and renewal terms. Court decisions may also supersede the franchise agreement, further emphasizing the importance of state law and judicial rulings in governing the franchise relationship.
Furthermore, any release or waiver of rights that requires a franchisee to waive compliance with the Washington Franchise Investment Protection Act is void. The only exception is if the release is part of a negotiated settlement, agreed upon after the franchise agreement is already in effect, and both parties have independent legal representation, as specified in RCW 19.100.220(2). This protection also applies to releases or waivers connected to franchise renewals or transfers, reinforcing the franchisee's rights under Washington law.
Additionally, provisions in the franchise agreement that unduly restrict the statute of limitations for claims under the Washington Franchise Investment Protection Act or limit rights and remedies under the Act, such as the right to a jury trial, may not be enforceable. This ensures that franchisees retain their legal rights and protections under state law, even if the franchise agreement attempts to limit them.