For a Healthsource Chiropractic franchise purchased in Washington, what law prevails in case of conflict of laws?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW will prevail.
RCW 19.100.180 may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise.
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, for a franchise purchased in Washington, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will prevail in the event of a conflict of laws. This means that if there is a disagreement or inconsistency between the franchise agreement and Washington state law, the state law will take precedence.
This protection is significant for prospective Healthsource Chiropractic franchisees in Washington because it ensures that their rights under state law are upheld. RCW 19.100.180 may supersede the franchise agreement in areas such as termination and renewal, and court decisions may also override the agreement in these areas.
Additionally, any arbitration or mediation related to a Healthsource Chiropractic franchise purchased in Washington must take place in Washington, or in a location mutually agreed upon, or as determined by the arbitrator or mediator. Franchisees also have the right to bring legal action in Washington for issues arising from the sale of the franchise or violations of the Washington Franchise Investment Protection Act, if litigation is not precluded by the franchise agreement. These measures collectively provide a layer of legal protection and local recourse for franchisees operating in Washington.