Does the general release required for renewal, sale, or assignment/transfer of a Deck Medic franchise apply to liability under the Maryland Franchise Registration and Disclosure Law?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
Amendments to the Deck Medic Franchise Agreement:
In recognition of the requirements of the Maryland Franchise Registration and Disclosure Law, the parties to the attached Deck Medic, Inc. Franchise Agreement (the "Franchise Agreement"), as follows:
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- The general release required as a condition of renewal, sale, and/or assignment/transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
A general release required as a condition of renewal, sale and/or assignment or transfer of a Franchise Agreement shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
Source: Item 23 — RECEIPTS (FDD pages 43–228)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, the general release required as a condition of renewal, sale, and/or assignment/transfer of a Deck Medic franchise does not apply to any liability under the Maryland Franchise Registration and Disclosure Law. This means that even if a franchisee signs a general release when renewing, selling, or transferring their franchise, they do not waive their rights to pursue claims under Maryland's franchise law. This protection is specifically included in an amendment to the Deck Medic Franchise Agreement for franchisees in Maryland.
This provision ensures that Deck Medic franchisees in Maryland retain their legal rights and protections under the Maryland Franchise Registration and Disclosure Law, regardless of any general release they might sign during renewal, sale, or transfer. This is particularly important because franchise laws are designed to protect franchisees from potentially unfair practices by franchisors. By explicitly stating that the general release does not apply to liabilities under Maryland franchise law, Deck Medic clarifies that franchisees can still bring claims related to violations of this law, even after signing a release.
Furthermore, the FDD amendment specifies that franchisees may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. However, any such claims must be brought within three years after the grant of the franchise. This time limitation is crucial for franchisees to understand, as it sets a deadline for pursuing legal action related to potential violations of the Maryland Franchise Registration and Disclosure Law.
This amendment reflects Maryland's franchise regulations, which aim to prevent unfair or deceptive practices. It's a beneficial provision for prospective Deck Medic franchisees in Maryland, as it preserves their rights and provides a legal avenue to address any violations of the state's franchise law, even after a general release is signed. This ensures a fairer balance of power between the franchisor and franchisee within the state.