For Hardees franchisees in California, what is the implication if the franchise agreement contains a provision inconsistent with California Business and Professions Code Sections 20000 through 20043?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
- C. California Business and Professions Code Sections 20000 through 20043 provide rights to the Franchisee concerning termination, transfer or non-renewal of a franchise. If the franchise agreement contains a provision that is inconsistent with the law, the law will control.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 71–84)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, California Business and Professions Code Sections 20000 through 20043 provide specific rights to Hardees franchisees regarding termination, transfer, or non-renewal of their franchise agreements.
If any provision within the Hardees franchise agreement is inconsistent with these sections of the California Business and Professions Code, the law will take precedence. This means that even if the franchise agreement stipulates something different, the franchisee's rights as defined by California law will be upheld.
This is a significant protection for Hardees franchisees in California, ensuring that their rights related to the termination, transfer, or non-renewal of their franchise are safeguarded by state law, regardless of what the franchise agreement might state. Franchisees should be aware of these specific California laws and how they might affect their franchise agreement.