For a Floyds 99 franchise in Washington, what is the effect of a statement signed by a franchisee disclaiming reliance on statements made by the franchisor?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD 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.
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, a statement, questionnaire, or acknowledgment signed by a franchisee in Washington, in connection with the commencement of the franchise relationship, cannot waive any claims under applicable state franchise law. This includes claims of fraud in the inducement.
Specifically, such a statement cannot disclaim reliance on any statement made by Floyds 99, a franchise seller, or anyone acting on behalf of Floyds 99. This provision overrides any other conflicting term in any document executed related to the franchise.
This means that even if a Floyds 99 franchisee signs a document stating they did not rely on any representations made by the franchisor, that statement will not prevent them from bringing a claim based on those representations, particularly claims related to the Washington Franchise Investment Protection Act. This protection is in place to ensure franchisees are not unknowingly giving up their rights under state law during the initial stages of the franchise relationship.