What happens to provisions in the Cinnaholic franchise agreement that deny violations of any provision of the franchise division?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
Any provision of a franchise agreement, franchise disclosure document, acknowledgement, questionnaire, or other writing, including any exhibit thereto, disclaiming or denying any of the following shall be deemed contrary to public policy and shall be void and unenforceable:
- (a) Representations made by the franchisor or its personnel or agents to a prospective franchisee.
- (b) Reliance by a franchisee on any representations made by the franchisor or its personnel or agents.
- (c) Reliance by a franchisee on the franchise disclosure document, including any exhibit thereto.
- (d) Violations of any provision of this division.
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to the 2025 Cinnaholic Franchise Disclosure Document, any part of the franchise agreement that attempts to deny violations of any provision within the franchise division is considered against public policy. As a result, such provisions are legally void and cannot be enforced. This means Cinnaholic franchisees cannot be held to terms that waive the franchisor's responsibility for upholding franchise regulations.
This protection ensures that franchisees retain their rights and recourse under applicable franchise laws. It prevents Cinnaholic from using the franchise agreement, or related documents, to sidestep legal obligations or shield itself from liability for violating franchise regulations. This is a standard practice in franchising, designed to protect franchisees from overreaching franchisors.
For a prospective Cinnaholic franchisee, this clause offers assurance that their legal rights are protected. They cannot be forced to waive their right to claim violations against Cinnaholic. This provision contributes to a fairer balance of power in the franchise relationship, ensuring that Cinnaholic must adhere to franchise laws and regulations.