In Washington, is a provision in the Hck Hot Chicken franchise agreement that conflicts with the limitations on noncompetition covenants enforceable?

According to Hck Hot Chicken's 2025 Franchise Disclosure Document, provisions within the franchise agreement that conflict with Washington state's limitations on noncompetition covenants are void and unenforceable. This is due to RCW 49.62.020, which states that a noncompetition covenant is void and unenforceable against an employee, including a franchisee's employee, if their annualized earnings from the enforcing party do not exceed $100,000, an amount adjusted annually for inflation.

Similarly, RCW 49.62.030 renders noncompetition covenants void and unenforceable against an independent contractor of a franchisee if their annualized earnings from the enforcing party do not exceed $250,000, also adjusted annually for inflation. This means that Hck Hot Chicken franchisees in Washington cannot enforce non-compete agreements against employees or contractors who earn less than these specified amounts.

This protection for workers is a significant consideration for prospective Hck Hot Chicken franchisees in Washington. It means they cannot rely on non-compete agreements to restrict lower-earning employees or contractors from working for competitors after leaving their franchise. Franchisees need to be aware of these legal limitations and consider alternative strategies, such as strong confidentiality agreements or loyalty programs, to protect their business interests and maintain a competitive edge within the bounds of Washington law.