What representation does the Epcon Communities franchisee make regarding representations by the franchisor that are contrary to the franchise agreement?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
- No statement, questionnaire, or acknowledgment 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 86–280)
What This Means (2025 FDD)
According to the 2025 Epcon Communities Franchise Disclosure Document, specifically within the addendum for the state of Virginia, there are stipulations regarding franchisee statements and reliance on franchisor representations.
Specifically, no statement, questionnaire, or acknowledgment signed by the franchisee in connection with starting the franchise can waive claims under state franchise law, including claims related to fraud in the inducement. Furthermore, these documents cannot disclaim reliance on statements made by Epcon Communities, its agents, or representatives. This addendum explicitly overrides any conflicting terms in other documents related to the franchise agreement.
In essence, this provision aims to protect franchisees in Virginia by ensuring they retain their rights to pursue legal claims, even if they have signed documents that might suggest otherwise. It prevents Epcon Communities from using standard paperwork to shield itself from liability for misrepresentations made during the franchise sales process. This protection is particularly relevant in states like Virginia with specific franchise laws in place.