For a Floyds 99 franchise in Washington, what is the relevant statute that prohibits restricting a franchisee from soliciting or hiring employees?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 23: RECEIPT]
RCW 49.62.060 prohibits a franchisor from restricting, restraining, or prohibiting a franchisee from (i) soliciting or hiring any employee of a franchisee of the same franchisor or (ii) soliciting or hiring any employee of the franchisor. As a result, any such provisions contained in the franchise agreement or elsewhere are void and unenforceable in Washington.
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 FRANCHISE AGREEMENT, DEVELOPMENT AGREEMENT AND RELATED AGREEMENTS FOR THE STATE OF WASHINGTON
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW will prevail.
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, for franchisees in Washington, RCW 49.62.060 prohibits Floyds 99 from restricting, restraining, or prohibiting a franchisee from soliciting or hiring any employee of another Floyds 99 franchisee or any employee of Floyds 99 itself. This means that any provisions in the franchise agreement that attempt to prevent a franchisee from hiring or soliciting employees from within the Floyds 99 system are void and unenforceable in Washington state.
This statute protects the franchisee's ability to recruit and hire qualified staff, which is essential for operating their Floyds 99 shop. Without this protection, Floyds 99 could potentially limit a franchisee's access to experienced employees familiar with the Floyds 99 system.
Additionally, the FDD states that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under any applicable state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Floyds 99. This ensures that franchisees cannot inadvertently give up their rights under Washington franchise law. The document also notes that in the event of conflicting laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will take precedence.