Does the Washington addendum address the statute of limitations for claims by Clear Pest Pros franchisees?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
Background. We and you are parties to that certain Franchise Agreement that has been executed concurrently with the execution of this Rider (the "Franchise Agreement"). This Rider is annexed to and forms part of the Agreement.
This Rider is being executed because (a) the offer or sale of the franchise for the Clear Pest Pros franchise you will operate under the Agreement was made in the State of Minnesota and you will operate the Franchise in the State of Minnesota and/or (b) you are a resident of the State of Minnesota.
Minnesota Rules 2860.4400(G) prohibits a franchisor from imposing on a franchisee by contract or rule, whether written or oral, any standard of conduct that is unreasonable.
Marks. The following language is added at the end of Section 4 of the Agreement:
Pursuant to Minnesota Stat. Sec. 80C.12, Subd. 1(g), we are required to protect any rights that you have to use our proprietary rights, including your right to use the trademarks, service marks, trade names, logotypes or other commercial symbols and indemnify the franchisee from any loss, costs, or expenses arising out of any claim, suite or demand regarding the use of the name.
Termination by Franchisor. The following language is added to Section 12.B of the Agreement:
With respect to franchises governed by Minnesota law, the franchisor will comply with Minn. Stat. Sec. 80C.14, Subds. 3, 4, and 5 which require, except in certain specified cases, that a franchisee be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice of non-renewal of the franchise agreement and that consent to the transfer of the franchise will not be unreasonably withheld. The franchisor will comply with Minnesota law in this respect in its performance of the franchise agreement and any ancillary agreements.
Waiver of Punitive Damages and Jury Trial. The following is added to Section 15.I, of the Agreement:
Minn. Rule 2860.4400J. prohibits the waiver of a jury trial.
Limitations of Claims. The Limitations of Claims section must comply with Minnesota Stat. § 80C.17, subd. 5.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, none of the provided addenda to the Clear Pest Pros Franchise Agreement are specifically for use in the State of Washington. However, the addenda for Maryland and Minnesota address the statute of limitations for claims arising under their respective state franchise laws.
Specifically, the Maryland addendum states that any limitation of claims provisions in the franchise agreement will not reduce the three-year statute of limitations afforded to franchisees for claims arising under the Maryland Franchise Registration and Disclosure Law. It clarifies that such claims must be brought within three years after the grant of the franchise.
Similarly, the Minnesota addendum states that the limitations of claims section must comply with Minnesota Statute § 80C.17, subd. 5. Since there is no Washington addendum, it is important for a prospective franchisee to consult with the franchisor or legal counsel to understand if there are specific statutes of limitations for claims in Washington that would supersede the standard franchise agreement.