Can a Cinnaholic franchisee waive compliance with any provision under the Washington Franchise Investment Protection Act in the franchise agreement?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
- **4.
General Release.** A release or waiver of rights in the franchise agreement or related agreements purporting to bind the franchisee to waive compliance with any provision under the Washington Franchise Investment Protection Act or any rules or orders thereunder is void except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel, in accordance with RCW 19.100.220(2).
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, a franchisee's ability to waive compliance with the Washington Franchise Investment Protection Act is restricted. Specifically, any release or waiver that attempts to bind a franchisee to waive compliance with any provision under this Act, or any related rules or orders, is considered void.
However, there is an exception to this rule. A franchisee can execute a valid waiver if it occurs as part of a negotiated settlement after the franchise agreement is already in effect. In this situation, the franchisee must be represented by independent counsel.
This provision aims to protect franchisees from unknowingly or unfairly relinquishing their rights under Washington franchise law. It ensures that any waiver of rights is made knowingly, voluntarily, and with the benefit of legal counsel, after the franchise relationship has been established.