What section of the Illinois Franchise Disclosure Act is referenced in the Focus Cfo Illinois Addendum?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
| | 3. | In conformance with Section 4 of the Illinois Franchise Disclosure Act, any | | | provision in a franchise agreement that designates jurisdiction and venue in a forum outside of the | | | State of Illinois is void. However, a franchise agreement may provide for arbitration to take place | | | outside of Illinois. | | | 4. | Your rights upon Termination and Non-Renewal are set forth in sections 19 and 20 | | | of the Illinois Franchise Disclosure Act. | | | 5. | In conformance with section 41 of the Illinois Franchise Disclosure Act, any | | | condition, stipulation or provision purporting to bind any person acquiring any franchise to waive | | | compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void. |
MULTI-STATE ADDENDA
FOR THE STATE OF ILLINOIS
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- For choice of law purposes, and for the interpretation and construction of the Franchise Agreement, the Illinois Disclosure Act, 815 ILCS 705 governs.
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- No action for liability under the Illinois Franchise Disclosure Act shall be maintained unless brought before the expiration of three years after the act or transaction constituting the violation upon which it is based, the expiration of one year after the franchisee becomes aware of facts and circumstances reasonably indicating that they may have a claim for relief in respect to conduct governed by the Act, or 90 days after delivery to the franchisee of a written notice disclosing the violation, whichever shall first expire.
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- Your rights upon termination and non-renewal of a franchise agreement are subject to sections 19 and 20 of the Illinois Franchise Disclosure Act.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, the Illinois Addendum references multiple sections of the Illinois Franchise Disclosure Act. Specifically, it mentions Section 4, which pertains to the designation of jurisdiction and venue for legal proceedings. The addendum states that any provision in the franchise agreement that designates jurisdiction and venue outside of Illinois is void, although arbitration outside of Illinois is permitted.
Additionally, the Focus Cfo addendum references sections 19 and 20 of the Illinois Franchise Disclosure Act, which outline the franchisee's rights upon termination and non-renewal of the franchise agreement. Furthermore, Section 41 of the Illinois Franchise Disclosure Act is referenced, stating that any provision requiring a waiver of compliance with the Illinois Franchise Disclosure Act or any other Illinois law is void.
In addition to the specific sections mentioned, the Illinois Addendum states that the Illinois Disclosure Act, 815 ILCS 705, governs the interpretation and construction of the Franchise Agreement for choice of law purposes. It also specifies a statute of limitations for actions related to liability under the Illinois Franchise Disclosure Act, setting a deadline of three years after the act or transaction constituting the violation, one year after the franchisee becomes aware of a potential claim, or 90 days after written notice of the violation, whichever expires first. These provisions collectively ensure that Illinois franchisees receive the protections afforded to them under Illinois law.