For a Cool Binz franchise in Washington, can a franchisee bring an action in Washington for violations of the Washington Franchise Investment Protection Act?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
A release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act or any rule or order thereunder except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel.
Provisions such as those which unreasonably restrict or limit the statute of limitations period for claims under the Act, or rights or remedies under the Act such as a right to a jury trial, may not be enforceable.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to the 2025 Cool Binz Franchise Disclosure Document, a franchisee in Washington may bring an action or proceeding in Washington arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act. This means that Cool Binz franchisees have the right to pursue legal action within the state of Washington if they believe Cool Binz has violated the state's franchise laws. This protection ensures that franchisees are not forced to litigate disputes in a different, potentially less convenient or favorable jurisdiction.
Furthermore, the FDD states that a release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act or any rule or order thereunder except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. This provision prevents Cool Binz from requiring franchisees to waive their rights under the Washington Franchise Investment Protection Act, unless it's part of a negotiated settlement with independent legal representation. This safeguards the franchisee's ability to pursue claims under the Act, even after signing agreements or releases.
Additionally, the FDD notes that provisions that unreasonably restrict or limit the statute of limitations period for claims under the Act, or rights or remedies under the Act such as a right to a jury trial, may not be enforceable. This ensures that franchisees retain their legal rights and remedies under the Washington Franchise Investment Protection Act, preventing Cool Binz from imposing unfair limitations on their ability to seek justice. These stipulations collectively reinforce the legal protections afforded to Cool Binz franchisees in Washington, ensuring they can assert their rights under state law.