What claims are NOT released for Chem-Dry franchisees in the State of Washington?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
For franchisees in the State of Washington, the release(s) do not apply with respect to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder.
WASHINGTON
The state of Washington has a statute, RCW 19.100.180 which may supersede the Franchise Agreement in your relationship with the Franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the Franchise Agreement in your relationship with the Franchisor including the areas of termination and renewal of your franchise.
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.
RCW 19.100.180 may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise.
A release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act or any rule or order thereunder except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. Provisions such as those which unreasonably restrict or limit the statute of limitations period for claims under the Act, or rights or remedies under the Act such as a right to a jury trial may not be enforceable.
Transfer fees are collectable to the extent that they reflect the Franchisor's reasonable estimated or actual costs in effecting a transfer.
Source: Item 22 — CONTRACTS (FDD page 68)
What This Means (2024 FDD)
According to Chem-Dry's 2024 Franchise Disclosure Document, for franchisees in the State of Washington, the release(s) do not apply with respect to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder. This means that any claims a Chem-Dry franchisee in Washington has against the franchisor related to violations of this specific state law are not waived by signing a general release.
In Washington, the statute RCW 19.100.180 may supersede the franchise agreement in the franchisee's relationship with Chem-Dry, especially concerning termination and renewal. Court decisions may also override the franchise agreement in these areas. In case of conflicting laws, the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, takes precedence.
Furthermore, a Chem-Dry franchisee's release or waiver of rights cannot include rights under the Washington Franchise Investment Protection Act, unless it's part of a negotiated settlement after the franchise agreement is in effect and both parties have independent legal representation. Provisions that unreasonably restrict the statute of limitations for claims or limit rights and remedies under the Act, such as the right to a jury trial, may not be enforceable. Transfer fees are only collectable if they reflect Chem-Dry's reasonable costs in effecting the transfer.