Does the City Publications franchise agreement address a franchisee's reliance on any representations made by the franchisor or its personnel or agents?

According to the 2025 City Publications Franchise Disclosure Document, the Multi-State Addenda addresses a franchisee's reliance on representations made by the franchisor or its agents. Specifically, for all states, no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by the franchisor or anyone acting on their behalf. This provision takes precedence over any conflicting terms in other documents related to the franchise agreement.

This means that even if a franchisee signs a document stating they did not rely on any representations made by City Publications, that statement will not be legally binding. This protects franchisees from being held to agreements based on potentially misleading information provided during the franchise sales process. The addendum ensures that franchisees retain their rights to pursue claims of fraud or misrepresentation, regardless of any disclaimers they may have signed.

This type of clause is particularly important in franchising, where prospective franchisees often rely heavily on the franchisor's representations about potential earnings, market conditions, and the overall success of the franchise system. By explicitly stating that franchisees cannot waive their right to claim reliance on these representations, City Publications provides an additional layer of protection for franchisees and reinforces the importance of accurate and truthful disclosures during the franchise sales process.