In the event of a conflict of laws, which law prevails for a Crisp & Green franchise in Washington?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW will prevail.
RCW 19.100.180 may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise.
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, the Washington Franchise Investment Protection Act governs franchise agreements in Washington in the event of conflicting laws. Specifically, Chapter 19.100 RCW of this act takes precedence. This protection applies if the franchisee is domiciled in Washington, the franchised restaurant is located or operated in Washington, or any part of the franchise offering or sales activity occurred in Washington.
This means that if there is a disagreement between the standard Crisp & Green franchise agreement and the laws of Washington State, the Washington Franchise Investment Protection Act will be the controlling authority. This covers all aspects of the franchise relationship, including termination and renewal rights, and may also be influenced by relevant court decisions.
Furthermore, any arbitration or mediation related to a Crisp & Green franchise purchased in Washington must occur within the state, unless both parties agree to an alternative location or the arbitrator/mediator determines otherwise. Franchisees also have the right to bring legal action in Washington if the dispute involves the sale of the franchise or a violation of the Washington Franchise Investment Protection Act, provided that litigation is not precluded by the franchise agreement.