In Maryland, does the addendum to the Crisp & Green Franchise Disclosure Document supersede any other term of any document executed in connection with the franchise?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
The following provision applies only to franchisees and franchises that are subject to the state franchise registration/disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin:
No statement, questionnaire, or acknowledgement signed or agreed to by you 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 us, any franchise seller, or any other person acting on our behalf. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, a specific provision addresses the superseding effect of certain statements in Maryland. For franchisees in Maryland, any statement, questionnaire, or acknowledgment they sign related to starting their franchise cannot waive claims under Maryland franchise law, including claims of fraud. Furthermore, franchisees cannot disclaim reliance on statements made by Crisp & Green or its representatives. This specific provision overrides any other conflicting terms in any document related to the franchise agreement.
This means that even if a franchisee signs a document that seems to waive their rights or disclaim reliance on statements made by Crisp & Green, this waiver or disclaimer will not be valid to the extent it contradicts Maryland franchise law. This protection is particularly important because it ensures that franchisees retain their legal rights under Maryland law, regardless of any potentially conflicting language in other documents.
This protection is in place to ensure that Crisp & Green franchisees in Maryland are not unknowingly or unintentionally giving up their rights under state franchise laws. It reinforces the importance of understanding all aspects of the franchise agreement and seeking legal counsel to ensure full comprehension of one's rights and obligations. The addendum aims to provide an additional layer of security for franchisees operating within Maryland.