Under what condition is each provision of the Hawaii amendment to the Deer Solution Franchise Agreement effective?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
The Hawaii Franchise Investment Law provides rights to the franchisee concerning non-renewal, termination, and transfer of the Franchise Agreement. If this subarticle contains a provision that is inconsistent with the Hawaii Franchise Investment Law, the Hawaii Franchise Investment Law will control.
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- 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.
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- Each provision of this amendment shall be effective only to the extent, with respect to such provision, that the jurisdictional requirements of the Hawaii Franchise Investment Law are met independently without reference to this amendment.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, each provision within the Hawaii amendment to the Deer Solution Franchise Agreement is effective only if the jurisdictional requirements of the Hawaii Franchise Investment Law are independently met, without relying on the amendment itself.
This means that for any part of the Hawaii amendment to be valid and enforceable, it must comply with Hawaii's specific franchise laws, regardless of what the amendment states. This ensures that franchisees in Hawaii are protected by their state's franchise laws, which cover aspects like non-renewal, termination, and transfer of the franchise agreement.
For a prospective Deer Solution franchisee in Hawaii, this condition is crucial. It reinforces that the Hawaii Franchise Investment Law takes precedence over the standard franchise agreement in case of any inconsistencies. Therefore, franchisees should be aware of their rights under Hawaii law and understand that those rights cannot be waived or superseded by the franchise agreement's general terms.