What restrictions on statute of limitations periods are unenforceable for Cool Binz franchises in Washington?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Accordingly, Items 17(c) and Item 17(m) of the FDD, and required by Sections 10.B.8 and 11.C of the Franchise Agreement, does not apply to claims arising under the Franchise Investment Protection Act, chapter 19.100 RCW, or any rules or order adopted thereunder, in accordance with RCW 19.100.220(2).
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, certain provisions that unreasonably restrict or limit the statute of limitations for claims under the Washington Franchise Investment Protection Act are not enforceable in Washington. This also applies to restrictions on rights or remedies under the Act, such as the right to a jury trial. This means that Cool Binz franchisees in Washington retain their full legal rights under the state's franchise laws, regardless of what the franchise agreement might say.
Specifically, Items 17(c) and Item 17(m) of the FDD, and Sections 10.B.8 and 11.C of the Franchise Agreement, do not apply to claims arising under the Franchise Investment Protection Act, chapter 19.100 RCW, or any rules or order adopted thereunder, in accordance with RCW 19.100.220(2). This ensures that franchisees are not bound by clauses that would shorten the time they have to bring a legal claim or limit their access to legal remedies related to franchise law violations.
This protection is significant for prospective Cool Binz franchisees in Washington because it prevents Cool Binz from enforcing clauses that could unfairly limit their legal recourse. Franchise agreements often contain provisions that shorten the statute of limitations or restrict the types of remedies available, but these provisions are unenforceable in Washington to the extent they conflict with the Franchise Investment Protection Act. Franchisees should consult with an attorney to fully understand their rights and the implications of these protections.