What rights does a Chesters franchisee have regarding termination and renewal under Washington law?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
ly 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.
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- Franchisee Bill of Rights. RCW 19.100.180 may supersede provisions in the franchise agreement or related agreements concerning your relationship with the franchisor, including in the areas of termination and renewal of your franchise. There may also be court decisions that supersede the franchise agreement or related agreements concerning your relationship with the franchisor.
Source: Item 23 — **RECEIPTS (FDD pages 48–197)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, Washington state law provides certain protections for franchisees regarding termination and renewal. Specifically, RCW 19.100.180, the Washington Franchise Investment Protection Act, may supersede any conflicting provisions in the franchise agreement or related documents. This means that if the franchise agreement contains terms about termination or renewal that are not in line with Washington law, the state law will take precedence.
This protection extends to court decisions as well, which may also override aspects of the franchise agreement concerning the relationship between Chesters and the franchisee. The franchise agreement, including anything summarized in Item 17 of the FDD, is subject to Washington state law. Furthermore, Chesters franchisees in Washington have the right to terminate the franchise agreement on any grounds permitted under state law.
In practical terms, a prospective Chesters franchisee in Washington should be aware that the terms of the franchise agreement are not the final word on termination and renewal rights. They should familiarize themselves with RCW 19.100.180 and any relevant court decisions to understand their full rights under Washington law. This ensures that franchisees are not bound by franchise agreement terms that are less favorable than what the state law provides.
It is also important to note that any release or waiver of rights that requires a franchisee to waive compliance with the Washington Franchise Investment Protection Act is void unless it meets specific conditions. These conditions include being part of a negotiated settlement after the agreement is in effect and having both parties represented by independent counsel, as outlined in RCW 19.100.220(2). This protection also applies to releases or waivers connected to franchise renewals or transfers, reinforcing the importance of understanding and protecting one's rights under Washington law.