Does the Floyds 99 agreement supersede prior written agreements?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
No disclaimer, questionnaire, clause, or statement signed by a franchisee in connection with the commencement of the franchise relationship shall be construed or interpreted as waiving any claim of fraud in the inducement, whether common law or statutory, or as disclaiming reliance on or the right to rely upon any statement made or information provided by any franchisor, broker or other person acting on behalf of the franchisor that was a material inducement to a franchisee's investment. Any statements or representations signed by a franchisee purporting to understand any fact or its legal effect shall be deemed made only based upon the franchisee's understanding of the law and facts as of the time of the franchisee's investment decision. This provision supersedes any other or inconsistent term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, a provision within the California addendum addresses the superseding of prior agreements specifically related to fraud claims. It states that no disclaimer, questionnaire, clause, or statement signed by a franchisee concerning the franchise relationship can be interpreted as waiving any claim of fraud in the inducement, whether based on common law or statute. This also means franchisees cannot disclaim reliance on statements or information provided by Floyds 99 or its representatives that materially induced their investment.
Furthermore, any statements signed by a franchisee that indicate an understanding of any fact or its legal effect are deemed to be based solely on the franchisee's understanding of the law and facts at the time of the investment decision. This specific provision is designed to override any other term that might be inconsistent within any document executed during the franchise process.
This addendum is particularly relevant for prospective franchisees in California, as it provides additional protection against inadvertently waiving rights related to fraud claims during the initial stages of the franchise relationship. It ensures that franchisees' claims of fraud are evaluated based on their understanding at the time of investment, regardless of any disclaimers or statements they may have signed. This type of protection is not universally included in franchise agreements, making it a notable point for potential Floyds 99 franchisees in California.