For Cinnaholic franchises in Maryland, what claims cannot be waived by any statement, questionnaire, or acknowledgment signed by a franchisee?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
t within three years after the grant of the franchise.
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- Attached to this Addendum as Schedule 1 is the form of the general release that Developer and its owners will sign, as, and if, required by Section 13.4 of the Agreement.
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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 statemen
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 42–50)
What This Means (2025 FDD)
According to the 2025 Cinnaholic Franchise Disclosure Document, specifically the addendum to the Market Development Agreement for Maryland, there are certain protections in place for franchisees. A key provision ensures that no statement, questionnaire, or acknowledgment signed by a Cinnaholic franchisee can waive claims under Maryland franchise law. This includes claims related to fraud in the inducement, meaning a franchisee cannot waive their right to sue if they believe they were misled into signing the agreement.
Additionally, Maryland Cinnaholic franchisees are protected from disclaiming reliance on statements made by Cinnaholic or anyone acting on their behalf. This means a franchisee cannot sign away their right to hold Cinnaholic accountable for representations made during the franchise sales process. This protection is designed to prevent Cinnaholic from using fine print to avoid responsibility for what they tell potential franchisees to entice them to invest.
This provision is significant because it supersedes any other conflicting terms in any document executed in connection with the franchise agreement. This means that even if other documents contain language that suggests a franchisee is waiving certain rights, this specific clause in the Maryland addendum takes precedence, reinforcing the franchisee's protections under Maryland law. This ensures that Cinnaholic franchisees in Maryland retain their legal rights and recourse, regardless of other agreements or statements they may sign.