Can a Cool Binz franchisee disclaim reliance on any statement made by the franchisor in Hawaii?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
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 Hawaii cannot disclaim reliance on statements made by the franchisor. This protection is explicitly provided under Hawaii state law.
The FDD states that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under any applicable state franchise law. This includes claims of fraud in the inducement or disclaiming reliance on any statement made by the franchisor or their representatives. This provision overrides any other conflicting terms in any document related to the franchise agreement.
This means that Cool Binz franchisees in Hawaii retain their legal rights and protections under Hawaii's franchise laws, regardless of any agreements or acknowledgments they may sign. This ensures that franchisees can hold the franchisor accountable for any misrepresentations or fraudulent statements made during the franchise sales process.
This type of clause is included to comply with state franchise laws, which often aim to protect franchisees from overreaching franchisors. Prospective Cool Binz franchisees in Hawaii should be aware of this protection, as it can be crucial in resolving disputes or addressing issues that may arise during the franchise relationship.