Does the Washington addendum affect the termination and renewal of a Crisp & Green franchise?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
RCW 19.100.180 may supersede the Franchise Agreement and Area Development 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 and Area Development Agreement in your relationship with the franchisor, including the areas oftermination and renewal of yourfranchise.
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 thetimeofarbitrationormediation. Inaddition,iflitigationisnotprecludedbythe Franchise Agreement or Area Development Agreement, a franchiseemay bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment ProtectionAct, in Washington.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to the 2024 Crisp & Green Franchise Disclosure Document, the Washington addendum does affect the termination and renewal of a franchise. Specifically, the addendum states that RCW 19.100.180, which is part of the Washington Franchise Investment Protection Act, may supersede the franchise agreement in regards to termination and renewal. Additionally, court decisions may also supersede the franchise agreement concerning termination and renewal. This addendum applies if the franchisee is a resident of Washington or if the business will be located in Washington.
This means that the standard terms in the Crisp & Green franchise agreement regarding termination and renewal may not be fully enforceable in Washington. The Washington Franchise Investment Protection Act and relevant court decisions could provide additional protections or impose different requirements for franchisees in Washington compared to franchisees in other states.
Prospective Crisp & Green franchisees in Washington should carefully review the Washington Franchise Investment Protection Act (RCW 19.100.180) and consult with an attorney to understand their rights and obligations regarding termination and renewal. They should also be aware that the arbitration or mediation site will be in Washington, or a mutually agreed upon location, and that they can bring action in Washington if litigation is not precluded by the franchise agreement.