Can a Fat Shack franchisee waive compliance with any provision under the Washington Franchise Investment Protection Act?
Fat_Shack Franchise · 2025 FDDAnswer from 2025 FDD Document
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).
Source: Item 23 — Receipts (FDD pages 53–223)
What This Means (2025 FDD)
According to Fat Shack's 2025 Franchise Disclosure Document, a franchisee's ability to waive compliance with the Washington Franchise Investment Protection Act is restricted. Specifically, any release or waiver in the franchise agreement that attempts to waive compliance with any provision under the Act, or any related rules or orders, is considered void.
However, there is an exception to this rule. A franchisee can execute a release or waiver if it is part of a negotiated settlement reached after the franchise agreement is already in effect. In this case, both parties must be represented by independent legal counsel. This exception is in accordance with RCW 19.100.220(2), the relevant section of the Revised Code of Washington.
Furthermore, any release or waiver executed in connection with the renewal or transfer of a Fat Shack franchise is also void, except under the same conditions as above, as provided for in RCW 19.100.220(2). This ensures that franchisees are protected by the Washington Franchise Investment Protection Act unless specific conditions are met during a negotiated settlement with independent legal representation.