What Hawaii statute necessitates the amendment to the Floors To Go Membership Agreement?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
In recognition of the requirements of the Hawaii Franchise Investment Law, Hawaii Rev. Stat. §§ 482E-1 et seq., the parties to the attached Membership Agreement (the "Agreement") agree to amend the Agreement as follows:
- Section 13 of the Agreement shall be supplemented by the addition of the following new Section 13.4, which shall be considered an integral part of the Agreement:
13.4 Your Interest Upon Termination.
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
According to Floors To Go's 2025 Franchise Disclosure Document, the Hawaii Franchise Investment Law, specifically Hawaii Revised Statutes §§ 482E-1 et seq., necessitates the amendment to the Floors To Go Membership Agreement. This amendment is made in recognition of the requirements outlined in this law.
This means that if you are considering opening a Floors To Go franchise in Hawaii, the standard Membership Agreement will be modified to comply with Hawaii's specific franchise regulations. These modifications are designed to protect franchisees and ensure that the franchise offering meets the legal standards set by the state of Hawaii.
Specifically, Section 13 of the Floors To Go Membership Agreement is supplemented with a new Section 13.4, which addresses the franchisee's interest upon termination. This addition becomes an integral part of the agreement for franchisees operating in Hawaii. Floors To Go is required to follow Hawaii Rev. Stats. § 482E-6(3) regarding the purchase of improvements, equipment, and inventory after termination, giving Floors To Go the right, but not the duty, to purchase these items at fair market value.