What statute of limitations applies to claims arising under the Maryland Franchise Registration and Disclosure Law for Dermani Medspa franchisees?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
Nothing in the Franchise Agreement operates to reduce the 3-year statute of limitations afforded to a franchisee for bringing a claim arising under the Maryland Franchise Registration and Disclosure Law. Further, any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within 3 years after the grant of the franchise.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, a three-year statute of limitations applies to claims arising under the Maryland Franchise Registration and Disclosure Law. This means that a franchisee must bring any claims under this law within three years after the grant of the franchise.
This provision is included in the Maryland Addendum to both the Franchise Agreement and the Area Development Agreement, ensuring that franchisees are aware of their rights and the time frame within which they must act. The addendum also clarifies that no part of the Franchise Agreement can reduce this three-year statute of limitations, reinforcing the protection afforded to franchisees under Maryland law.
This type of clause is important for prospective franchisees as it protects their right to bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law within the specified timeframe. Franchise agreements often contain various legal clauses, and addendums like this one serve to clarify and sometimes override certain provisions to comply with state-specific regulations, like those in Maryland.