What does the provision regarding waiver of claims and disclaiming reliance supersede in the Focus Cfo franchise agreement?

According to the 2025 Focus Cfo Franchise Disclosure Document, any statement, questionnaire, or acknowledgment signed by the franchisee in connection with starting the franchise relationship cannot waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Focus Cfo or its representatives. This specific provision takes precedence over any other conflicting terms in any document executed as part of the franchise agreement.

This means that even if a franchisee signs a document that seems to waive their rights to sue for fraud or disclaim reliance on statements made by Focus Cfo, this provision ensures that such waivers are not effective. This protects the franchisee's ability to pursue legal claims if they believe they were misled or defrauded during the franchise sales process. This protection is particularly important in states with franchise laws designed to protect franchisees.

However, it's important to note that this protection applies specifically to claims under state franchise law and fraud in the inducement. It does not necessarily cover other types of claims or disputes that may arise during the franchise relationship. Franchisees should consult with an attorney to fully understand their rights and obligations under the franchise agreement and applicable state laws.

For franchisees in Maryland, a similar provision exists, stating that no statement, questionnaire, or acknowledgment can waive claims under applicable state law, including fraud in the inducement, or disclaim reliance on statements made by the franchisor. This Maryland-specific clause also supersedes any other conflicting term in any document related to the franchise, but it only applies to franchisees who are residents of Maryland or locate their franchises in Maryland.