Are there any restrictions on statute of limitations periods for claims under the Washington Franchise Investment Protection Act related to a Carls Jr. franchise?

According to the 2025 Carls Jr. Franchise Disclosure Document, provisions in the franchise agreement or related documents that unreasonably restrict or limit the statute of limitations period for claims under the Washington Franchise Investment Protection Act may not be enforceable. This means that Carls Jr. cannot enforce a clause that unduly shortens the time a franchisee has to bring a claim under this Act. This protection is designed to ensure franchisees have adequate time to discover and pursue legal remedies for potential violations.

This provision is favorable for prospective Carls Jr. franchisees in Washington because it prevents the franchisor from limiting their legal rights under the Washington Franchise Investment Protection Act. It ensures that franchisees have a fair opportunity to address grievances and seek legal recourse if they believe Carls Jr. has violated the Act.

However, the FDD does not define what constitutes an "unreasonable" restriction or limitation on the statute of limitations period. This determination would likely depend on the specific circumstances and legal interpretation. A prospective franchisee should consult with an attorney to understand their rights and the applicable statute of limitations under Washington law. They should also discuss with the franchisor to clarify what limitations periods are considered acceptable and reasonable by Carls Jr.