Are provisions that unreasonably restrict the statute of limitations for claims under the Washington Franchise Investment Protection Act enforceable for Focalpoint Coaching franchisees?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
A release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act or any rule or order thereunder except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel. Provisions such as those which unreasonably restrict or limit the statute of limitations period for claims under the Act, or rights or remedies under the Act such as a right to a jury trial, may not be enforceable.
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, provisions that unreasonably restrict or limit the statute of limitations period for claims under the Washington Franchise Investment Protection Act may not be enforceable. This protection also extends to rights or remedies under the Act, such as the right to a jury trial. This means that if the Franchise Agreement contains clauses that attempt to shorten the time a franchisee has to bring a claim under Washington's franchise law, or limit their rights, those clauses may be deemed unenforceable by a Washington court.
This safeguard is in place to protect Focalpoint Coaching franchisees in Washington from being unfairly limited in their ability to pursue legal claims related to violations of the Washington Franchise Investment Protection Act. The FDD also states that a release or waiver of rights executed by a franchisee may not include rights under the Washington Franchise Investment Protection Act unless it is part of a negotiated settlement after the agreement is in effect and both parties are represented by independent counsel.
In the event of any conflict between the Franchise Agreement and the Washington Franchise Investment Protection Act, the Act will take precedence. This ensures that Focalpoint Coaching franchisees operating in Washington are afforded the full protections of Washington law, regardless of what the standard Franchise Agreement might state. Prospective franchisees should consult with an attorney to fully understand their rights under Washington law and how they interact with the Franchise Agreement.