What is the effect of provisions in the Focus Cfo Disclosure Document or Franchise Agreement that require a franchisee to disclaim or acknowledge the non-occurrence of acts that would violate the Maryland Franchise Registration and Disclosure Law?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
CFO Group, LLC and you are preparing to enter into a Franchise Agreement for the operation of a Focus CFO business. In this Franchisee Disclosure Questionnaire, Focus CFO Group, LLC will be referred to as "we" or "us." Please review each of the following questions carefully and provide honest and complete responses to each question.
No statement, questionnaire, or acknowledgment signed or agreed to by you 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 Focus CFO, and any franchise seller, or other person acting on behalf of Focus CFO. This provision supersedes any other term of any document executed in connection with the Focus CFO franchise.
- Have you received the Focus CFO Group, LLC Franchise Agreement and each exhibit, addendum and schedule attached to it? Yes No 2. Have you received our Disclosure Document we provided to you? Yes No 3.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to Focus Cfo's 2025 Franchise Disclosure Document, certain provisions are included to protect franchisees in Maryland from unintentionally waiving their rights under the Maryland Franchise Registration and Disclosure Law. Specifically, any statement, questionnaire, or acknowledgment signed by a franchisee cannot waive claims under state franchise law, including claims of fraud. This also means franchisees cannot disclaim reliance on statements made by Focus Cfo or its representatives. This protection is explicitly stated to supersede any other conflicting terms in any document related to the franchise agreement.
For Maryland residents or those operating a Focus Cfo franchise in Maryland, Focus Cfo's FDD clarifies that any representations requiring a franchisee to release, waive, or be estopped from asserting liability do not apply to liability incurred under the Maryland Franchise Registration and Disclosure Law. This ensures that franchisees retain their legal rights and remedies under Maryland law, even if other parts of the franchise agreement might suggest otherwise. This protection extends to general releases required for renewal, sale, assignment, or transfer of the franchise.
These provisions are particularly important because they prevent Focus Cfo from inadvertently limiting a franchisee's rights through standard contract language. By explicitly stating that Maryland law takes precedence in these specific areas, Focus Cfo provides additional assurance to franchisees in Maryland that their rights are protected. This also reflects a commitment to compliance with state franchise laws, which can vary significantly and require specific disclosures and protections for franchisees.
In practical terms, this means a Focus Cfo franchisee in Maryland can pursue legal claims under the Maryland Franchise Registration and Disclosure Law without fear that their initial agreements or acknowledgments will be used against them to waive those claims. This offers a level of security and recourse that might not otherwise be available, ensuring a fairer balance of power between the franchisor and franchisee within the legal framework of Maryland.