Can a Cinnaholic franchisee waive their right to a jury trial under the Washington Franchise Investment Protection Act?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
- **5.
Statute of Limitations and Waiver of Jury Trial.** Provisions contained in the franchise agreement or related agreements that unreasonably restrict or limit the statute of limitations period for claims under the Washington Franchise Investment Protection Act, or rights or remedies under the Act such as a right to a jury trial, may not be enforceable.
- **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).
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.
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, provisions in the franchise agreement that restrict rights under the Washington Franchise Investment Protection Act, such as the right to a jury trial, may not be enforceable. This protection is part of the Washington Addendum to the franchise agreement, which applies if the franchise is offered or sold in Washington, the purchaser is a Washington resident, or the franchised business will operate in Washington.
This means that Cinnaholic franchisees in Washington may retain their right to a jury trial, despite any conflicting language in the franchise agreement. This ensures that franchisees are not forced to give up important legal rights as a condition of owning a franchise.
However, a franchisee can waive compliance with any provision under the Washington Franchise Investment Protection Act if the waiver is part of a negotiated settlement, occurs after the franchise agreement is already in effect, and both parties are represented by independent legal counsel. This exception allows for flexibility in resolving disputes, but only under specific circumstances that protect the franchisee's interests.
Prospective Cinnaholic franchisees in Washington should be aware of these protections and consult with an attorney to fully understand their rights under the Washington Franchise Investment Protection Act. This ensures they can make informed decisions about the franchise agreement and any potential disputes that may arise.