Where can I find information about the Dryer Vent Squad franchise in Michigan?
Dryer_Vent_Squad Franchise · 2024 FDDAnswer from 2024 FDD Document
the Maryland Franchise Registration and Disclosure Law.
- C. Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the franchise.
- D. In the event of a conflict of laws if required by the Maryland Franchise Registration and Disclosure Law, Maryland law shall prevail.
- E. The Franchise Agreement provides for termination upon bankruptcy. This provision may not be enforceable under federal bankruptcy law (11 U.S.C. Section 101, et seq.).
- F. All representations requiring prospective franchisees to assent to a release, estoppel or waiver of liability are not intended to nor shall they act as a release, estoppel or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law.
Michigan FDD Amendment
Amendments to the Dryer Vent Squad Franchise Disclosure Document
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- THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS. IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU.
- A. A prohibition of your right to join an association of Franchisees.
- B. A requirement that you assent to a release, assignment, novation, waiver or estoppel that deprives you of rights and protections provided in this act. This shall not preclude you, after entering into a Franchise Agreement, from settling any and all claims.
- C. A provision that permits us to terminate a franchise before the expiration of this term except for good cause. Good cause shall include your failure to comply with any lawful provision of the Franchise Agreement and to cure the failure after being given written notice of the failure and a reasonable opportunity, which in no event need be more than 30 days, to cure the failure.
- D. A provision that permits us to refuse to renew a franchise without fairly compensating you by repurchase or other means for the fair market value at the time of expiration of your inventory, supplies, equipment, fixtures and furnishings. Personalized materials that have no value to us and inventory, supplies, equipment, fixtures and furnishings not reasonably required in the conduct of the franchise
business are not subject to compensation.
Source: Item 23 — RECEIPTS (FDD pages 51–207)
What This Means (2024 FDD)
According to the 2024 Dryer Vent Squad FDD, there is a Michigan FDD Amendment included in the document. This amendment addresses specific regulations and provisions relevant to franchising in Michigan. It states that Michigan prohibits certain unfair provisions that are sometimes found in franchise documents, and if any of these provisions are present in the Dryer Vent Squad franchise documents, they are void and unenforceable against the franchisee.
The amendment specifically highlights several prohibited provisions. These include restrictions on a franchisee's right to join a franchisee association, requirements for franchisees to assent to releases or waivers that deprive them of rights and protections under the act, and clauses that allow Dryer Vent Squad to terminate a franchise before its expiration without good cause. Good cause is defined as the franchisee's failure to comply with lawful provisions of the Franchise Agreement, provided they are given written notice and a reasonable opportunity (no more than 30 days) to correct the failure.
Additionally, the amendment addresses provisions related to franchise renewal. Dryer Vent Squad cannot refuse to renew a franchise without fairly compensating the franchisee for the fair market value of their inventory, supplies, equipment, fixtures, and furnishings at the time of expiration. This compensation requirement applies if the franchise term is less than five years and the franchisee is prohibited from continuing a similar business under another trademark in the same area after the franchise expires, or if the franchisee does not receive at least six months' notice of Dryer Vent Squad's intent not to renew. The amendment also prohibits Dryer Vent Squad from refusing to renew a franchise on terms not generally available to other franchisees of the same class under similar circumstances and states that litigation cannot be required to be conducted outside of Michigan.