Does the Hydrodog franchise agreement include a waiver of punitive damages?

Based on the 2025 Hydrodog Franchise Disclosure Document, there is no explicit mention of a waiver of punitive damages within the provided excerpts. However, Section 21 of the Franchise Agreement will be subject to the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder. RCW 19.100.180 may supersede. This suggests that the franchise agreement's terms, including any clauses related to dispute resolution and liability, are subject to state laws, which may impact the enforceability of certain provisions.

While the FDD excerpts discuss dispute resolution through arbitration and good faith negotiations, they do not specify whether punitive damages are waived. The agreement emphasizes resolving disputes to benefit both parties and the Hydrodog system, but it does not detail the types of damages that can be claimed in arbitration or legal proceedings.

Prospective Hydrodog franchisees should carefully review Section 21 of the franchise agreement and consult with a legal professional to understand their rights and obligations regarding dispute resolution and potential liability for damages. It is important to determine whether the Washington Franchise Investment Protection Act or other applicable state laws affect the franchisee's ability to seek punitive damages in case of a dispute with Hydrodog. Franchisees should also inquire about any specific clauses in the franchise agreement that limit or waive certain types of damages.