What is the purpose of the California amendment to the Cordova Franchise Agreement?
Cordova Franchise · 2025 FDDAnswer from 2025 FDD Document
le in Washington.
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- Questionnaires and Acknowledgments. No statement, questionnaire, or acknowledgment 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.
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- Prohibitions on Communicating with Regulators. Any provision in the franchise agreement or related agreements that prohibits the franchisee from communicating with or complaining to regulators is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h).
- Advisory Regarding Franchise Brokers. Under the Washington Franchise Investment Protection Act, a "franchise broker" is defined as a person that engages in the business of the offer or sale of franchises. A franchise broker represents the franchisor and is paid a fee for referring prospects to the franchisor and/or selling the franchise. If a franchisee is working with a franchise broker, franchisees are advised to carefully evaluate any information provided by the franchise broker about a franchise
Wisconsin FDD Amendment Amendments to the Cordova Franchise Disclosure Document
Item 17, "Renewal, Termination, Transfer and Dispute Resolution," Item 17 is supplemented by the addition of the following:
The Wisconsin Fair Dealership Law Title XIV-A Ch. 135, Section 135.01-135.07 may affect the termination provision of the Franchise Agreement.
Source: Item 23 — RECEIPTS (FDD pages 44–195)
What This Means (2025 FDD)
According to Cordova's 2025 Franchise Disclosure Document, the California amendment to the franchise agreement serves to protect franchisees by preventing them from waiving certain rights under California franchise law. Specifically, it ensures that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims related to state franchise law, including claims of fraud in the inducement.
Additionally, the amendment prevents franchisees from disclaiming reliance on statements made by Cordova, its franchise sellers, or anyone acting on Cordova's behalf. This provision is designed to supersede any conflicting terms in other documents executed in connection with the franchise agreement, reinforcing the protection for franchisees.
In practical terms, this amendment means that Cordova franchisees in California retain their legal rights and recourse under state law, even if they have signed agreements that might suggest otherwise. This offers an additional layer of security and consumer protection for individuals investing in a Cordova franchise within California, ensuring they cannot inadvertently forfeit their rights through standard contractual language.