In Wisconsin, how does the Wisconsin Fair Dealership Law affect the Caring Transitions Franchise Agreement?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
The following additional disclosures are required by the Wisconsin Franchise Investment Law and the Wisconsin Fair Dealership Law:
THE WISCONSIN FAIR DEALERSHIP LAW SUPERSEDES ANY PROVISION OF THE FRANCHISE AGREEMENT THAT IS INCONSISTENT WITH THAT LAW. THE STATE OF WISCONSIN MAY ALSO HAVE COURT DECISIONS WHICH MAY SUPERSEDE THE FRANCHISE RELATIONSHIP IN RELATIONSHIP WITH THE FRANCHISOR, INCLUDING THE AREAS OF TERMINATION AND RENEWAL OF YOUR FRANCHISE. THE STATE OF WISCONSIN MAY HAVE COURT DECISIONS WHICH RESTRICT THE IMPOSITION OF LIQUIDATED DAMAGES. THE IMPOSITION OF LIQUIDATED DAMAGES IS ALSO RESTRICTED BY FAIR PRACTICE LAWS, CONTRACT LAW, AND STATE AND FEDERAL COURT DECISIONS. A PROVISION IN THE FRANCHISE AGREEMENT WHICH TERMINATED THE FRANCHISE UPON THE BANKRUPTCY OF THE FRANCHISEE MAY NOT BE ENFORCEABLE UNDER TITLE 11, UNITED STATES CODE §101. THE STATE OF WISCONSIN MAY HAVE COURT DECISIONS LIMITING THE FRANCHISOR'S ABILITY TO RESTRICT YOUR ACTIVITY AFTER THE FRANCHISE AGREEMENT HAS ENDED.
We may revoke our approval of any previously approved supplier at any time if the quality of the product or the supplier's financial condition or ability to satisfy your requirements do not continue to meet our satisfaction.
WISCONSIN ADDENDUM TO FRANCHISE AGREEMENT
The parties hereby amend the following provisions of the Franchise Agreement to which this addendum is attached to comply with the Wisconsin Franchise Investment Law and the Wisconsin Fair Dealership Law:
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- Franchisor and Franchisee agree that Chapter 135, Stats., the Wisconsin Fair Dealership Law, supersedes any provisions of the Franchise Agreement inconsistent with that law.
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- To the extent this addendum is inconsistent with the Franchise Agreement or its exhibits or attachments, this addendum controls.
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- Franchisor and Franchisee hereby ratify and affirm the Franchise Agreement in all other respects.
The parties are signing this addendum concurrently with the attached Franchise Agreement.
Source: Item 22 — CONTRACTS (FDD page 49)
What This Means (2025 FDD)
According to Caring Transitions's 2025 Franchise Disclosure Document, the Wisconsin Fair Dealership Law (WFDL) has specific implications for franchisees in Wisconsin. The WFDL supersedes any conflicting provisions within the standard Caring Transitions Franchise Agreement. This means that if any part of the agreement clashes with the WFDL, the state law takes precedence.
To ensure compliance with Wisconsin law, Caring Transitions includes a Wisconsin Addendum to the Franchise Agreement. This addendum explicitly states that Chapter 135 of Wisconsin Statutes, which constitutes the WFDL, overrides any inconsistent terms in the Franchise Agreement. Furthermore, the addendum clarifies that if any part of it conflicts with the main Franchise Agreement or its exhibits, the addendum will govern.
Prospective franchisees in Wisconsin should carefully review both the Franchise Agreement and the Wisconsin Addendum to understand their rights and obligations under state law. It is advisable to seek legal counsel to fully comprehend the implications of the WFDL on their specific franchise agreement with Caring Transitions. This ensures that franchisees are aware of how state laws protect them in areas such as termination, renewal, and other aspects of the franchise relationship.