What is the name of the Washington state statute that may supersede the Crown Gold Exchange franchise agreement?
Crown_Gold_Exchange Franchise · 2024 FDDAnswer from 2024 FDD Document
WASHINGTON ADDENDUM TO DISCLOSURE DOCUMENT AND RIDER TO FRANCHISE AND MULTI-UNIT DEVELOPMENT AGREEMENT
The state of Washington has a statute, RCW 19.100.180 which 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 involving a franchise purchased in Washington, the arbitration site shall be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator.
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.
A release or waiver of rights executed by a franchisee shall not include rights under the Washington Franchise Investment Protection Act except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. Provisions such as those which unreasonably restrict or limit the statute of limitation period for claims under the Act, rights or remedies under the Act such as a right to a jury trial may not be enforceable.
Source: Item 22 — CONTRACTS (FDD pages 38–39)
What This Means (2024 FDD)
According to Crown Gold Exchange's 2024 Franchise Disclosure Document, the Washington statute that may supersede the franchise agreement is the Washington Franchise Investment Protection Act, Chapter 19.100 RCW. This statute could impact the franchisee's relationship with Crown Gold Exchange, particularly in areas of termination and renewal. Court decisions in Washington may also supersede the franchise agreement.
For a Crown Gold Exchange franchisee in Washington, this means that certain provisions of the franchise agreement may not be fully enforceable if they conflict with the state's franchise laws. For example, the franchise agreement's terms regarding termination or renewal might be altered or overridden by the Washington Franchise Investment Protection Act.
Additionally, any arbitration involving a franchise purchased in Washington must occur within the state, unless both parties agree to an alternative location or the arbitrator determines otherwise. Franchisees cannot waive their rights under the Washington Franchise Investment Protection Act, except in specific situations such as a negotiated settlement with independent legal representation. Provisions that unreasonably restrict the statute of limitations or rights to a jury trial may also be unenforceable.