Under what circumstances can a Cool Binz franchisee pursue a remedy based on alleged fraud, misrepresentation, or deceit by Cool Binz, despite the waiver mentioned in the agreement?

According to Cool Binz's 2025 Franchise Disclosure Document, a franchisee generally waives the right to remedies for fraud, misrepresentation, or deceit by Cool Binz. However, there are specific exceptions to this waiver.

The waiver does not apply if a ground is expressly provided in the Franchise Agreement itself. This means that if the agreement contains a clause that allows for a remedy in cases of fraud, misrepresentation, or deceit, the franchisee can pursue that remedy. Additionally, the waiver is not applicable if a right is expressly granted by any applicable statute that specifically regulates the sale of franchises, or any rules or regulations promulgated under such a statute. This acknowledges that certain franchise laws may provide franchisees with protections against fraud that cannot be waived.

In essence, while the Cool Binz franchise agreement includes a waiver of remedies for fraud, misrepresentation, or deceit, this waiver is not absolute. It is subject to the specific terms of the agreement and any overriding statutory rights granted to franchisees under applicable franchise laws. A prospective franchisee should carefully review the franchise agreement and relevant franchise laws to understand the full scope of their rights and potential remedies.