In Michigan, can Goldfish Swim School prohibit a franchisee from joining an association of franchisees?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
FOR THE STATE OF MICHIGAN
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- THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS. IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU.
- A prohibition of your right to join an association of Franchisees.
Source: Item 22 — CONTRACTS (FDD pages 76–77)
What This Means (2025 FDD)
According to Goldfish Swim School's 2025 Franchise Disclosure Document, Michigan law prohibits Goldfish Swim School from including provisions in its franchise agreement that would prevent a franchisee from joining an association of franchisees. This protection ensures that franchisees in Michigan have the right to organize and collectively address issues or concerns related to their franchises.
This provision is designed to protect franchisees' rights and provide them with a platform to communicate and negotiate with the franchisor on matters of common interest. By voiding any contractual clauses that restrict this right, Michigan law aims to balance the power dynamic between the franchisor and its franchisees. This can be particularly beneficial for franchisees who may otherwise feel isolated or lack the resources to address concerns individually.
For a prospective Goldfish Swim School franchisee in Michigan, this means that they cannot be legally prevented from joining or forming an association with other franchisees. This right allows them to collaborate, share experiences, and potentially negotiate better terms or resolve disputes with Goldfish Swim School collectively. It's a safeguard that promotes fairness and protects the interests of franchisees within the state.