What waivers are included in the Principal Owner's Guaranty for a Creative World School franchise?

Based on the 2025 Creative World School Franchise Disclosure Document, several addenda and riders address waivers and acknowledgements, particularly concerning legal rights. For franchisees in New York, Virginia, Illinois, and Maryland, any statement, questionnaire, or acknowledgement signed in connection with starting the franchise cannot waive claims under applicable state franchise law, including claims related to fraud in the inducement. Similarly, these documents cannot disclaim reliance on statements made by Creative World School or its representatives. These stipulations are designed to protect franchisees from inadvertently relinquishing their legal rights during the initial phase of the franchise relationship.

For franchisees in Minnesota, the FDD specifies that nothing in the disclosure document or franchise agreement can reduce any rights provided under Minnesota Statutes, Chapter 80C, or rights to any procedure, forum, or remedies provided by the laws of the jurisdiction. This ensures that Minnesota franchisees retain all statutory rights and legal protections afforded to them under state law. Additionally, Creative World School is prohibited from requiring litigation to be conducted outside of Minnesota, providing further protection for the franchisee's legal recourse.

In Maryland, the general release required for renewal, sale, or transfer of the franchise does not apply to liabilities under the Maryland Franchise Registration and Disclosure Law. Franchisees must bring any claims arising under this law within three years of receiving the franchise. Furthermore, franchisees in Maryland retain the right to sue Creative World School in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. All representations requiring prospective franchisees to assent to a release, estoppel, or waiver of liability do not act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. These provisions collectively safeguard the franchisee's rights and remedies under Maryland franchise law.

These clauses in the Creative World School franchise agreement and related addenda aim to protect franchisees by preventing unintentional waivers of legal rights and ensuring access to legal remedies, particularly in the states of New York, Virginia, Illinois, Maryland, and Minnesota. Prospective franchisees should carefully review these provisions and consult with legal counsel to fully understand their rights and obligations.