Are there any circumstances under which a Cream franchisee in Maryland is required to waive their right to sue for violations of the Maryland Franchise Registration and Disclosure Law?

According to Cream's 2025 Franchise Disclosure Document, several provisions address the rights of franchisees in Maryland concerning the Maryland Franchise Registration and Disclosure Law. Specifically, any release required as a condition of renewal, sale, assignment, or transfer will not apply to claims or liabilities arising under this law. This means Cream franchisees in Maryland cannot be compelled to waive their rights to sue for violations of the Maryland Franchise Registration and Disclosure Law as a condition of renewing their franchise agreement or transferring it to another party.

Furthermore, the FDD states that any general release provided within the franchise agreement does not apply to any liability under the Maryland Franchise Registration and Disclosure Law if the franchised business is located in Maryland or if the franchisee is a resident of Maryland. This reinforces the protection of franchisees' rights to pursue legal action under this specific law without being bound by general release clauses that might otherwise limit their ability to sue.

Additionally, the disclosure clarifies that all representations requiring prospective franchisees to assent to a release, estoppel, or waiver of liability are not intended to act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. This provision ensures that no agreement or representation made by the franchisee can be interpreted as a relinquishment of their rights under this law. Cream also states that a franchisee may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure law, but any such claims must be brought within 3 years after the grant of the franchise.