In connection with the commencement of a Deer Solution franchise relationship, can a franchisee waive claims under state franchise law in North Dakota?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire or acknowledgement signed or agreed to by a franchisee 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 any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, a franchisee in North Dakota cannot waive claims under any applicable state franchise law when starting the franchise relationship. This includes claims related to fraud in the inducement or disclaiming reliance on statements made by Deer Solution or its representatives. This protection is in place to ensure that franchisees are not unknowingly giving up their legal rights at the outset of the franchise agreement.
This provision is specifically designed to override any conflicting terms in other documents related to the franchise agreement, emphasizing the importance of protecting the franchisee's rights under North Dakota law. The amendment ensures that franchisees are aware of their rights and that Deer Solution cannot enforce waivers that would otherwise be detrimental to the franchisee's legal standing.
This safeguard is particularly important in the context of franchise agreements, which can be complex and may contain terms that are not immediately clear to franchisees. By preventing the waiver of state franchise law claims, North Dakota aims to create a fairer and more transparent franchising environment for Deer Solution franchisees.