For Focus Cfo, is a waiver of compliance with the Illinois Franchise Disclosure Act valid?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, any waiver of claims under applicable state franchise law is invalid. Specifically, this includes waiving claims related to fraud in the inducement. This means that Focus Cfo franchisees in Illinois cannot waive their rights to sue the franchisor for violations of the Illinois Franchise Disclosure Act.
This provision protects franchisees by ensuring they retain their legal rights under state franchise laws, regardless of any agreement they may sign. It prevents Focus Cfo from enforcing waivers that would limit a franchisee's ability to pursue legal claims against them. This is a standard practice in franchising, as many states have franchise laws in place to protect franchisees from unfair practices.
The FDD also states that this provision supersedes any other term of any document executed in connection with the Focus CFO franchise. Therefore, even if other agreements contain waiver clauses, this specific provision regarding state franchise law prevails, offering additional protection to the franchisee.