In Washington, if there are inconsistencies between the Crowne Plaza franchise disclosure document or license agreement and the Washington Franchise Investment Protection Act, which provisions will prevail?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary set forth in the Franchise Disclosure Document, the following provisions shall supersede and apply to all licenses offered and sold in the State of Washington:
If any of the provisions in the franchise disclosure document or license agreement are inconsistent with the relationship provisions of RCW 19.100.180 or other requirements of the Washington Franchise Investment Protection Act, the provisions of the Act will prevail over the inconsistent provisions of the franchise disclosure document and license agreement with regard to any license sold in Washington.
A release or waiver of rights executed by a licensee may not include rights under the Washington Franchise Investment Protection Act or any rule or order thereunder except when executed pursuant to a negotiated settlement after the Franchise 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 limitations period for claims under the Act, and rights or remedies under the Act such as a right to a jury trial, may not be enforceable.
The State of Washington has a statute, RCW 19.100.180 which may supersede the License Agreement in your relationship with Holiday including the areas of termination of your franchise.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, the Washington Franchise Investment Protection Act will prevail over any inconsistent provisions in the franchise disclosure document or license agreement for licenses sold in Washington. This protection extends to the relationship provisions outlined in RCW 19.100.180 and other requirements within the Act. This means that if any part of the Crowne Plaza franchise agreement conflicts with Washington state law regarding franchise relationships, the state law will take precedence.
This addendum ensures that Crowne Plaza franchisees in Washington are afforded the full protection of their state's franchise laws. It also clarifies that a franchisee's release or waiver of rights does not include rights under the Washington Franchise Protection Act unless it's part of a negotiated settlement with independent legal counsel after the franchise agreement is already in effect. Provisions that unreasonably limit the statute of limitations for claims or rights under the Act, such as the right to a jury trial, may not be enforceable.
Furthermore, the FDD specifies that Washington State Statute RCW 19.100.180 may supersede the Crowne Plaza License Agreement, particularly in areas concerning the termination of the franchise. Court decisions may also override the License Agreement in matters of termination and renewal. In the event of conflicting laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will take precedence to the extent they are applicable. This ensures that Washington franchisees receive the full benefits and protections of their state laws.