Does the Fat Shack franchise agreement allow the franchisor to prohibit a franchisee from communicating with regulators in Washington?
Fat_Shack Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Prohibitions on Communicating with Regulators. Any provision in the franchise agreement or related agreements that prohibits the franchisee from communicating with or complaining to regulators is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h).
Source: Item 23 — Receipts (FDD pages 53–223)
What This Means (2025 FDD)
According to the 2025 Fat Shack FDD, any provision within the franchise agreement or related agreements that prevents a franchisee from communicating with or complaining to regulators is unlawful in Washington.
This protection for Fat Shack franchisees in Washington is explicitly stated in Item 23, which addresses compliance with state laws. The disclosure indicates that such prohibitions are inconsistent with the instructions in the Franchise Disclosure Document and violate RCW 19.100.180(2)(h).
This means that Fat Shack cannot enforce any clause that restricts a franchisee's ability to communicate with regulatory bodies. This ensures that franchisees can freely report concerns or complaints to the appropriate authorities without fear of reprisal from Fat Shack. This type of protection is not universally included in franchise agreements and is specific to compliance with Washington state law.