Does the Hawaii Franchise Agreement Amendment for Casiola supersede other terms in documents executed in connection with the franchise?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
vor from the provisions of the Hawaii Franchise Investment Law, shall remain in force; it being the intent of this provision that the non-waiver provisions of the Hawaii Franchise Investment Law be satisfied; and
The Hawaii Franchise Investment Law provides rights to the franchisee concerning non-renewal, termination and transfer of the Franchise Agreement. If this subarticle contains a provision that is inconsistent with the Hawaii Franchise Investment Law, the Hawaii Franchise Investment Law will control.
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Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, the Hawaii Franchise Agreement Amendment includes provisions that supersede other terms in documents related to the franchise, specifically regarding waivers of claims and disclaimers of reliance. According to the FDD, no statement, questionnaire, or acknowledgement signed by a franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Casiola or its representatives. This specific provision overrides any conflicting terms in other documents executed in connection with the franchise.
This means that even if a franchisee signs a document that appears to waive certain rights or disclaims reliance on statements made by Casiola, this provision in the Hawaii Franchise Agreement Amendment ensures that such waivers or disclaimers are not enforceable, protecting the franchisee's rights under Hawaii franchise law. This protection extends to claims of fraud in the inducement, meaning that franchisees cannot be prevented from claiming they were fraudulently induced into signing the agreement based on misrepresentations by Casiola.
This clause is particularly important for prospective Casiola franchisees in Hawaii as it reinforces the protections afforded by the Hawaii Franchise Investment Law. It prevents Casiola from circumventing these protections through standard contract clauses or acknowledgements that might otherwise limit the franchisee's ability to pursue legal claims. Franchisees should be aware of this provision and understand that their rights under Hawaii franchise law are preserved, regardless of other documents they may sign during the franchise commencement.
It is important to note that while this provision supersedes conflicting terms, it does not invalidate the entire agreement or other related documents. Instead, it ensures that the specific protections of the Hawaii Franchise Investment Law remain in effect, providing an additional layer of security for the franchisee. This is a common practice in franchise agreements to comply with state-specific franchise laws and protect franchisees' rights.