In the event of a conflict of laws, which law prevails for Chesters franchises?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
WASHINGTON ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT, THE FRANCHISE AGREEMENT, FRANCHISE REPRESENTATIONS, AND RELATED AGREEMENTS
The provisions of this Addendum form an integral part of, are incorporated into, and modify the Franchise Disclosure Document, the franchise agreement, and all related agreements regardless of anything to the contrary contained therein. This Addendum applies if: (a) the offer to sell a franchise is accepted in Washington; (b) the purchaser of the franchise is a resident of Washington; and/or (c) the franchised business that is the subject of the sale is to be located or operated, wholly or partly, in Washington.
- Conflict of Laws. In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW will prevail.
Source: Item 23 — **RECEIPTS (FDD pages 48–197)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, specifically the Washington Addendum, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW, will prevail in the event of a conflict of laws. This applies if the offer to sell a Chesters franchise is accepted in Washington, if the purchaser is a resident of Washington, and/or if the franchised business is to be located or operated, wholly or partly, in Washington.
This means that if there is a disagreement between the franchise agreement and Washington state law, the state law will take precedence. This is particularly important for prospective franchisees in Washington, as it ensures that their rights under the Washington Franchise Investment Protection Act are protected. These rights can cover various aspects of the franchise relationship, including termination and renewal, as the RCW 19.100.180 may supersede provisions in the franchise agreement.
Additionally, the addendum specifies that any arbitration or mediation involving a Chesters franchise purchased in Washington will occur in Washington, or in a mutually agreed-upon location, or as determined by the arbitrator or mediator. Franchisees may also bring legal action in Washington for issues arising from the sale of franchises or violations of the Washington Franchise Investment Protection Act, if litigation is not precluded by the franchise agreement. This ensures that Washington franchisees have access to local legal avenues for resolving disputes with Chesters.