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In Maryland, do representations requiring prospective Hyper Kidz franchisees to assent to a release, estoppel, or waiver of liability act as a release, estoppel, or waiver of liability under the Maryland Franchise Registration and Disclosure Law?

Hyper_Kidz Franchise · 2024 FDD

Answer from 2024 FDD Document

The Franchisee Disclosure Acknowledgement Statements are amended to state all representations requiring prospective franchisees to assent to a release, estoppel or waiver of liability are not intended to nor shall they act as a release, estoppel or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law.

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 49–52)

What This Means (2024 FDD)

According to Hyper Kidz's 2024 Franchise Disclosure Document, representations requiring prospective franchisees in Maryland to agree to a release, estoppel, or waiver of liability will not act as a release, estoppel, or waiver of liability under the Maryland Franchise Registration and Disclosure Law. This amendment is specifically included to protect franchisees' rights under Maryland law. This means that even if a franchisee signs an agreement that seems to waive their rights, those waivers will not be enforced regarding liabilities arising from the Maryland Franchise Registration and Disclosure Law.

This protection ensures that Hyper Kidz franchisees in Maryland retain their legal rights and recourse under the state's franchise laws. It prevents the franchisor from using standard contract language to inadvertently or intentionally limit the franchisees' ability to pursue claims related to franchise registration and disclosure violations. This is a significant benefit for franchisees as it safeguards their ability to seek legal remedies if they believe Hyper Kidz has violated the Maryland Franchise Registration and Disclosure Law.

Prospective Hyper Kidz franchisees in Maryland should understand that this provision offers them additional security. It ensures that they cannot unintentionally forfeit their rights under Maryland franchise law through standard contractual clauses. This protection is particularly important when entering into a franchise agreement, as it allows franchisees to address potential issues related to disclosure and registration without fear of having waived their legal rights.

Disclaimer: This information is extracted from the 2024 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.