table_specific

Does the New York amendment for City Publications address restrictive orders?

City_Publications Franchise · 2025 FDD

Answer from 2025 FDD Document

The following is added to the end of the "Summary" sections of Item 17(c), titled "Requirements for franchisee to renew or extend," and Item 17(m), entitled "Conditions for franchisor approval of transfer": However, to the extent required by applicable law, all rights you enjoy and any causes of action arising in your favor from the provisions of Article 33 of the General Business Law of the State of New York and the regulations issued thereunder shall remain in force; it being the intent of this proviso that the non-waiver provisions of General Business Law Sections 687(4) and 687(5) be satisfied.

Source: Item 23 — RECEIPT (FDD pages 39–129)

What This Means (2025 FDD)

According to City Publications' 2025 Franchise Disclosure Document, the New York amendment addresses restrictive orders. Specifically, it states that all rights and causes of action arising from Article 33 of the General Business Law of the State of New York remain in force to the extent required by applicable law. This includes the non-waiver provisions of General Business Law Sections 687(4) and 687(5).

This means that City Publications franchisees in New York cannot waive certain rights granted to them under New York law, which provides some protection against overly broad or unfair restrictions that the franchise agreement might otherwise impose. These protections ensure that franchisees retain their legal rights and remedies under New York's General Business Law, despite any potentially conflicting terms in the franchise agreement.

For a prospective City Publications franchisee in New York, this is a beneficial provision. It ensures that they are not forced to give up their rights under New York law, providing a safeguard against potentially overreaching restrictions imposed by the franchisor. This can be particularly important in areas such as termination, renewal, and transfer of the franchise, where the franchisor might otherwise seek to impose terms that are unfavorable to the franchisee. Therefore, franchisees should familiarize themselves with Article 33 of New York's General Business Law to understand the specific rights they retain.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.