Are Chem Dry franchisees in Maryland required to sign the Disclosure Questionnaire attached as Exhibit I?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
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- No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise. Maryland franchisees and/or those operating outlets within the State of Maryland are not to sign the Disclosure Questionnaire attached as Exhibit I.
Source: Item 22 — CONTRACTS (FDD page 68)
What This Means (2024 FDD)
According to Chem Dry's 2024 Franchise Disclosure Document, franchisees operating in Maryland are not required to sign the Disclosure Questionnaire attached as Exhibit I. This is explicitly stated within the Maryland addendum to the franchise agreement. This addendum is intended to ensure compliance with Maryland statutes and regulations, offering additional protections to franchisees within the state.
Specifically, the FDD notes that any statement, questionnaire, or acknowledgment signed by a franchisee cannot waive claims under applicable state franchise law, including fraud. This provision overrides any conflicting terms in other documents related to the franchise agreement. This ensures that Maryland franchisees retain their rights and protections under Maryland law, regardless of any standard forms or agreements used by Chem Dry.
This protection is significant for prospective Chem Dry franchisees in Maryland, as it prevents them from inadvertently waiving their legal rights through standard documentation. It also reinforces that the franchise agreement is subject to Maryland law, which provides a legal framework for the franchise relationship. Franchisees should carefully review the Maryland addendum and understand their rights under Maryland's franchise laws.