Does the developer need to agree to Floyds 99's delegation of obligations?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
ll not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
- c. You may bring any cause of action against us in any court of competent jurisdiction, including the state or federal courts of Maryland.
- d. Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the franchise.
The following statement is added to the Franchise Disclosure Document:
No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
RIDER TO THE FLOYD'S 99 FRANCHISING, LLC DEVELOPMENT AGREEMENT FOR THE STATE OF MARYLAND
| Developer is dated, 20 | This Rider to the Development Agreement by and between Floyd's 99 Franchising, LLC and | ||
|---|---|---|---|
| 1. | The following statement is added at the end of Section 8.2.f: | ||
| apply to any liability under the Maryland Franchise Registration and Disclosure Law. | Pursuant to the Code of Maryland Regulations (COMAR) 02.02.08.16L, the | ||
| general release required as a condition of renewal, sale and/or assignment/transfer shall not | |||
| 2. | The following statement is added at the end of Section 13.4: | ||
| within three years after the grant of the franchise. | The Developer may commence any cause of action against the Franchisor in any court of | ||
| competent jurisdiction, including the state or federal courts of Maryland. |
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
Based on the 2025 Floyds 99 Franchise Disclosure Document, there is no explicit mention of whether the developer needs to agree to Floyds 99's delegation of obligations. However, the document does state that the developer must sign the Illinois Rider concurrently with the execution of the Development Agreement.
To fully understand the developer's obligations regarding delegation, a prospective Floyds 99 franchisee should review Article 8, which contains the applicable transfer provisions. It is important to clarify with Floyds 99 under what specific conditions they can delegate their obligations and what approval or agreement is required from the developer in such instances.
Understanding these conditions is crucial for any potential developer to assess the level of control and influence they will have over their development area and the overall franchise relationship.