Does the Washington Addendum require acknowledgement of having read and understood its terms for City Publications franchisees?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
IN WITNESS WHEREOF, each of the undersigned hereby acknowledges having read this Amendment, and understands and consents to be bound by all of its terms.
CITY PUBLICATIONS FRANCHISE GROUP, INC.:
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, the Washington Addendum to the Franchise Agreement requires franchisees to acknowledge that they have read, understood, and consent to be bound by all of its terms. This acknowledgement is formalized through a signature. This requirement ensures that franchisees are aware of and agree to the specific legal provisions applicable in Washington state.
This acknowledgement is important because the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, may supersede the standard franchise agreement, particularly in areas like termination and renewal. Additionally, court decisions in Washington could also override the franchise agreement in these areas. The addendum also specifies that arbitration or mediation involving a franchise purchased in Washington will occur in Washington, unless otherwise agreed upon.
Furthermore, the addendum clarifies that a franchisee's release or waiver of rights cannot include rights under the Washington Franchise Investment Protection Act, except in cases of a negotiated settlement with independent counsel after the agreement is in effect. Provisions that unreasonably restrict the statute of limitations for claims or rights under the Act may not be enforceable. Transfer fees are collectable only to the extent they reflect the franchisor's reasonable costs. Therefore, the acknowledgement ensures franchisees are aware of these Washington-specific legal protections and limitations, which could significantly impact their franchise operations and relationship with City Publications.