Can a Checkers area franchisee waive compliance with any other law of Illinois?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
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- In conformance with section 41 of the Illinois Franchise Disclosure Act, any condition, stipulation or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void.
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- No disclaimer, questionnaire, clause, or statement signed by a franchisee in connection with the commencement of the franchise relationship shall be construed or interpreted as waiving any claim of fraud in the inducement, whether common law or statutory, or as disclaiming reliance on or the right to rely upon any statement made or information provided by any franchisor, broker or other person acting on behalf of the franchisor that was a
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, specifically the Illinois Rider to the Development Agreement, any attempt to waive compliance with Illinois law is void. This protection is in place due to Section 41 of the Illinois Franchise Disclosure Act. This means that Checkers cannot enforce any agreement provision that requires an area franchisee to surrender their rights under Illinois law.
This provision is highly favorable for the franchisee. It ensures that Checkers franchisees operating in Illinois retain all the protections afforded to them under Illinois state law. This prevents Checkers from including clauses in the franchise agreement that might force franchisees to unknowingly give up their legal rights.
Furthermore, any signed document, such as a disclaimer or questionnaire, cannot be used to waive claims of fraud related to the franchise agreement. This protects franchisees from being bound by statements that could be interpreted as a waiver of their right to claim they were fraudulently induced into signing the agreement. This clause reinforces the franchisee's ability to seek legal recourse if they believe Checkers misrepresented information that led to their investment.
In summary, the Illinois Rider to the Checkers Development Agreement provides significant protections for franchisees, ensuring they cannot inadvertently waive their rights under Illinois law and preserving their ability to pursue claims of fraud.