factual

Regarding the Goldfish Swim School franchise, what effect do statements, questionnaires, or acknowledgements signed by a franchisee have on waiving claims under state franchise law or disclaiming reliance on behalf of the franchisor?

Goldfish_Swim_School Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. No statement, questionnaire or acknowledgement signed or agreed to by a franchisee is connection with the commencement of the franchise relationship shall have the effect of: (i) waiving any claims under applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on behalf of the Franchisor. This provision supersedes any other term of any document executed in connection with the franchise.

Source: Item 22 — CONTRACTS (FDD pages 76–77)

What This Means (2025 FDD)

According to Goldfish Swim School's 2025 Franchise Disclosure Document, any statement, questionnaire, or acknowledgement signed by a franchisee in connection with starting the franchise relationship does not waive any claims under applicable state franchise law. This includes claims of fraud. These documents also do not disclaim reliance on behalf of Goldfish Swim School. This provision takes precedence over any other conflicting terms in any document related to the franchise agreement.

This means that even if a franchisee signs a document that appears to waive their rights or disclaim reliance on statements made by Goldfish Swim School, those waivers or disclaimers will not be legally effective with respect to state franchise law. Franchisees retain their rights to pursue claims, including fraud claims, under state franchise laws, regardless of what they may have signed in other documents.

This protection for franchisees is relatively common in franchising, as many state franchise laws are designed to protect franchisees from overreaching by franchisors. The statement in the FDD reinforces the franchisee's legal rights and ensures that franchisees are not unknowingly giving up important legal protections when signing franchise-related documents. Prospective franchisees should still carefully review all documents before signing, but this provision offers some assurance that their rights under state franchise law are preserved.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.