Can a Focalpoint Coaching franchisee bring an action in Washington for violations of the Washington Franchise Investment Protection Act?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
he Virginia Retail Franchising Act or the laws of Virginia, that provision may not be enforceable.
WASHINGTON
- The following paragraph is added to the end of Item 5 of the Disclosure Document:
In lieu of an impound of franchise fees, the Franchisor will not require or accept the payment of any initial franchise fees until the franchisee (a) has received all pre-opening and initial training obligations that it is entitled to under the franchise agreement or disclosure document, and (b) is open for business.
-
- In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.
-
- RCW 19.100.180 may supersede the Franchise Agreement in your relationship with us including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the Franchise Agreement in your relationship with us including the areas of termination and renewal of your franchise.
-
- In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the Franchise Agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
-
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, a franchisee may bring an action in Washington for violations of the Washington Franchise Investment Protection Act. Specifically, if litigation is not precluded by the Franchise Agreement, a franchisee can initiate an action or proceeding in Washington if it arises from the sale of franchises or involves a violation of the Washington Franchise Investment Protection Act. This ensures that Focalpoint Coaching franchisees operating in Washington have a local legal avenue to address grievances related to franchise sales or violations of the state's franchise laws.
Additionally, the FDD states that in the event of conflicting laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will take precedence. This clause reinforces the protection afforded to franchisees under Washington law, ensuring that the state's franchise regulations are prioritized over conflicting terms in the franchise agreement. This is particularly relevant in areas such as termination and renewal of the franchise, where RCW 19.100.180 may supersede the Franchise Agreement.
Furthermore, any release or waiver of rights executed by a Focalpoint Coaching franchisee cannot include rights under the Washington Franchise Investment Protection Act unless it is part of a negotiated settlement reached after the franchise agreement is in effect and both parties are represented by independent counsel. This provision aims to prevent franchisees from unknowingly or unfairly relinquishing their rights under the Act. Provisions that unreasonably restrict or limit the statute of limitations period for claims under the Act, or rights or remedies such as the right to a jury trial, may not be enforceable, further safeguarding the franchisee's legal standing.