Under what circumstances can an Expense Reduction Analysts franchisee bring a lawsuit in Maryland?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- A franchisee may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law.
-
- 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.
-
- Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the franchise.
-
- In the event of any conflict between the terms of this Amendment and the terms of the Agreement, the terms of this Amendment shall prevail.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (REGIONAL FRANCHISEES) (FDD pages 52–57)
What This Means (2025 FDD)
According to the 2025 Expense Reduction Analysts FDD, a franchisee may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. This law is designed to protect franchisees by requiring franchisors to provide complete and accurate information.
The FDD also clarifies that any representations requiring a prospective franchisee to waive liability do not apply to liability incurred under the Maryland Franchise Registration and Disclosure Law. This means that franchisees cannot be forced to release Expense Reduction Analysts from liability under this specific law as a condition of the franchise agreement.
Furthermore, any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the franchise. This time limit is crucial for franchisees to be aware of, as they will lose their right to sue if they wait longer than three years. The FDD also states that in case of any conflict between the terms of the amendment and the terms of the agreement, the terms of the amendment shall prevail.