What section of the Illinois Franchise Disclosure Act is conformed to in the Floyds 99 rider?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
In conformance with Section 4 of the Illinois Franchise Disclosure Act, any provision in a franchise agreement that designates jurisdiction and venue in a forum outside of the State of Illinois is void. However, a franchise agreement may provide for arbitration to take place outside of Illinois.
Your rights upon Termination and Non-Renewal are set forth in Sections 19 and 20 of the Illinois Franchise Disclosure Act.
In conformance with Section 41 of the Illinois Franchise Disclosure Act, any condition, stipulation or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void.
Franchise Acknowledgment / Compliance Certification:
No statement, questionnaire, or acknowledgement 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, the Illinois rider includes conformance statements pertaining to multiple sections of the Illinois Franchise Disclosure Act. Specifically, Section 4 is addressed regarding jurisdiction and venue, stating that any franchise agreement provision designating these outside of Illinois is void, although arbitration outside the state is permitted. Additionally, Sections 19 and 20 are referenced, noting that these sections outline franchisee rights upon termination and non-renewal.
Furthermore, the Floyds 99 rider ensures compliance with Section 41 of the Illinois Franchise Disclosure Act. This section invalidates any condition, stipulation, or provision that would bind a person acquiring a franchise to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law. This provision aims to protect franchisees from unknowingly relinquishing their legal rights under Illinois law.
Finally, the Floyds 99 rider includes a Franchise Acknowledgment/Compliance Certification that reinforces franchisee protections. It stipulates that no statement, questionnaire, or acknowledgment signed by a franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on franchisor statements. This certification supersedes any conflicting terms in other franchise-related documents, further safeguarding the franchisee's rights and ensuring adherence to Illinois franchise law.