In Michigan, can a Focus Cfo franchisee be required to assent to a waiver that deprives them of rights and protections?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
ief Financial Officer services provided to Focus CFO clients. Franchisee represents and warrants that it has all authority necessary to grant the foregoing license.
16. GENERAL CONDITIONS AND PROVISIONS
16.1. Waiver. The failure of any party to insist on performance of any of the terms or conditions of this Agreement will not be construed as a waiver (express or implied) or relinquishment of any rights granted hereunder or of the future performance of any such term or condition, and the obligations of the parties with respect thereto will continue in full force and effect. No failure of Focus CFO to exercise any power reserved to it hereunder, or to insist upon strict compliance by Focus CFO with any obligation or condition hereunder, and no custom nor practice of the parties in variance with the terms hereof, shall constitute a waiver of Focus CFO's right to demand Franchisee's exact compliance with the terms of this Agreement. Waiver by Focus CFO of any particular default by Franchisee shall not be binding unless in writing and executed by Focus CFO and will not affect nor impair Focus CFO's right with respect to any subsequent default of the same or of a different nature. Subsequent acceptance by Focus CFO of any payment(s) due shall not be deemed to be a waiver by Focus CFO of any preceding breach by Franchisee of any terms, covenants or conditions of this Agreement. In no event may Franchisee make any claim for money damages based upon any claim or assertion that Focus CFO has unreasonably withheld or delayed any consent or approval under this Agreement. Franchisee waives any such claim for damages. Franchisee may not claim any such damages by way of set off, counterclaim, or defense. Franchisee's sole remedy for the claim will be an action or
proceeding to enforce the Agreement provisions consistent with the terms of this Agreement.
- 16.2. Injunctive Relief. As any breach by Franchisee of any of the restrictions contained in Sections 12, 13, 14 and 15 would result in irreparable injury to Focus CFO, and as the damages arising out of any such breach would be difficult to ascertain, in addition to all other remedies provided by law or in equity, Focus CFO shall be entitled to seek injunctive relief (whether a restraining order, a preliminary injunction or a permanent injunction) against any such breach, whether actual or contemplated. Focus CFO's right to seek injunctive relief will not affect the parties' waiver of jury trial and covenant to arbitrate all disputes in accordance with Section 18. Focus CFO's rights herein shall include pursuing injunctive relief through arbitration or in state or federal court.
- 16.3. Notices and Payments.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, Focus CFO franchisees are subject to certain waivers. Specifically, the agreement states that the failure of Focus CFO to enforce any terms or conditions does not constitute a waiver of their rights. This means that even if Focus CFO doesn't strictly enforce every rule initially, they can still demand exact compliance in the future.
Furthermore, the document stipulates that Focus CFO franchisees waive any claims for monetary damages if Focus CFO withholds or delays consent or approval under the agreement. The franchisee's sole recourse in such situations is to pursue legal action to enforce the agreement's provisions. This waiver prevents franchisees from seeking financial compensation for perceived unreasonable actions by Focus CFO, limiting their remedies to enforcing the contract terms.
Additionally, Focus CFO and the franchisee each waive any right to claim punitive damages against the other, limiting recovery to actual damages, including reasonable accounting and legal fees. The franchisee also waives any right to consequential damages in claims against Focus CFO related to the agreement. Moreover, franchisees agree to waive trial by jury in any action brought by either party. These waivers significantly limit the legal avenues and potential financial recoveries available to Focus CFO franchisees in case of disputes, potentially impacting their ability to seek full compensation for damages or injuries.