factual

What California law are you waiving when signing the Itan franchise agreement?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

You must sign a general release of claims if you renew or transfer your Franchise.

California Corporations Code Section 31512 voids a waiver of your rights under the Franchise Investment Law (California Corporations Code Sections 31000 through 31516).

Business and Professions Code Section 20010 voids a waiver of your rights under the Franchise Relations Act (Business and Professions Code Sections 20000 through 20043).

Source: Item 23 — RECEIPT (FDD pages 44–190)

What This Means (2025 FDD)

According to the 2025 Itan Franchise Disclosure Document, California Corporations Code Section 31512 states that you cannot waive your rights under the Franchise Investment Law (California Corporations Code Sections 31000 through 31516). Additionally, Business and Professions Code Section 20010 states that you cannot waive your rights under the Franchise Relations Act (Business and Professions Code Sections 20000 through 20043). The FDD notes that you must sign a general release of claims if you renew or transfer your Itan franchise.

This means that while the franchise agreement may contain provisions that seem to waive certain rights, these waivers may not be enforceable under California law. Specifically, the California Franchise Investment Law and the Franchise Relations Act provide certain protections to franchisees, and these protections cannot be contractually surrendered.

Itan franchisees should be aware of these protections and consult with legal counsel to understand their rights fully. This is especially important when considering renewal or transfer of the franchise, as these events often require signing a release of claims. Understanding which rights cannot be waived ensures that franchisees can make informed decisions and protect their interests throughout the franchise relationship.

Disclaimer: This information is extracted from the 2025 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.