What is the impact of the Franchisee Bill of Rights on the Eos Worldwide Franchise Agreement in Washington?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 22: CONTRACTS]
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- Conflict of Laws. In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, chapter 19.100 RCW will prevail.
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- Franchisee Bill of Rights. RCW 19.100.180 may supersede provisions in the Franchise Agreement or related agreements concerning your relationship with the franchisor, including in the areas of termination and renewal of your franchise.
There may also be court decisions that supersede the Franchise Agreement or related agreements concerning your relationship with the franchisor.
Franchise agreement provisions, including those summarized in Item 17 of the Franchise Disclosure Document, are subject to state law.
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- Site of Arbitration, Mediation, and/or Litigation. In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
In addition, if litigation is not precluded by the Franchise Agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
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- General Release. A release or waiver of rights in the Franchise Agreement or related agreements purporting to bind the franchisee to waive compliance with any provision under the Washington Franchise Investment Protection Act or any rules or orders thereunder is void except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel, in accordance with RCW 19.100.220(2).
In addition, any such release or waiver executed in connection with a renewal or transfer of a franchise is likewise void except as provided for in RCW 19.100.220(2).
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- Statute of Limitations and Waiver of Jury Trial. Provisions contained in the Franchise Agreement or related agreements that unreasonably restrict or limit the statute of limitations period for claims under the Washington Franchise Investment Protection Act, or rights or remedies under the Act such as a right to a jury trial, may not be enforceable.
Source: Item 22 — CONTRACTS (FDD page 74)
What This Means (2025 FDD)
According to the 2025 FDD, the Eos Worldwide Franchise Agreement is subject to the Washington Franchise Investment Protection Act if the franchise is offered or accepted in Washington, the purchaser is a Washington resident, or the franchised business operates in Washington. The Franchisee Bill of Rights, specifically RCW 19.100.180, may override certain provisions in the Franchise Agreement or related documents, especially concerning termination and renewal. Court decisions may also supersede the Franchise Agreement. Franchise agreement provisions are subject to state law.
In the event of conflicting laws, the Washington Franchise Investment Protection Act (chapter 19.100 RCW) takes precedence. Any release or waiver of rights that requires a franchisee to waive compliance with the Washington Franchise Investment Protection Act is void unless it is part of a negotiated settlement with independent counsel after the agreement is in effect, as per RCW 19.100.220(2). This also applies to releases or waivers connected to franchise renewals or transfers, with the same exception for negotiated settlements.
Additionally, provisions in the Franchise Agreement that unreasonably limit the statute of limitations for claims under the Washington Franchise Investment Protection Act or restrict rights and remedies, such as the right to a jury trial, may not be enforceable. For arbitrations or mediations involving a franchise purchased in Washington, the location must be in Washington or a mutually agreed-upon location. If litigation isn't precluded by the Franchise Agreement, a franchisee can bring an action related to the sale of franchises or violations of the Washington Franchise Investment Protection Act in Washington.