Can Itan require a franchisee to assent to a release that deprives them of rights and protections?

According to Itan's 2025 Franchise Disclosure Document, whether Itan can require a franchisee to assent to a release that deprives them of rights and protections depends on the state where the franchise is located. In Michigan, the FDD states that any provision requiring a franchisee to assent to a release, assignment, novation, waiver, or estoppel that deprives them of rights and protections is void and cannot be enforced against the franchisee. Similarly, in Maryland, any representations requiring prospective franchisees to assent to the release, estoppel, or waiver of liability are not intended to act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. The document also specifies that the general release required as a condition of renewal, sale, and/or assignment/transfer shall not apply to any liability under the Maryland Franchise Law.

In Minnesota, the FDD indicates that Itan is prohibited from requiring franchisees to assent to a general release. Additionally, the document states that nothing in the Franchise Disclosure Document or agreements can abrogate or reduce any of the franchisee's rights as provided for in Minnesota Statutes, chapter 80C, or their rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.

In Washington, the general release does not apply to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, or the rules adopted thereunder. Itan's FDD also includes a general statement that in Michigan, a requirement that a franchisee assent to a release, assignment, novation, waiver, or estoppel which deprives a franchisee of rights and protections provided in the act is void.