In Maryland, can a franchisee bring suit for claims arising under the Maryland Franchise Registration Disclosure Law against Cream?

According to Cream's 2025 Franchise Disclosure Document, a franchisee in Maryland may bring a lawsuit against Cream for claims arising under the Maryland Franchise Registration Disclosure Law. However, any such claims must be brought within 3 years after the grant of the franchise. This provision is specifically applicable if the franchisee is a resident of Maryland, the franchised business is operated or will be operated in Maryland, or the offer of the franchise was made or accepted in Maryland.

This disclosure ensures that Cream franchisees in Maryland retain their rights under the state's franchise law, preventing them from being forced to waive their ability to sue for violations of the Maryland Franchise Registration and Disclosure Law. This protection is particularly important because franchise agreements often contain clauses that could be interpreted as requiring franchisees to waive certain rights or agree to dispute resolution processes that may be less favorable than pursuing a lawsuit in Maryland.

The inclusion of a 3-year limitation on bringing claims provides a specific timeframe within which a franchisee must act, which is a common practice in franchise agreements to ensure timely resolution of disputes. Prospective franchisees should be aware of this time limit and consult with an attorney if they believe they have a claim against Cream under the Maryland Franchise Registration and Disclosure Law. This provision aims to balance the rights of both the franchisor and franchisee by allowing franchisees to seek legal recourse while also setting a reasonable limit on the period during which such claims can be made.