Did Jersey Mike's admit to any wrongdoing as part of the settlement with the State of Washington?

According to Jersey Mike's 2025 Franchise Disclosure Document, Jersey Mike's and the State of Washington reached an Assurance of Discontinuance on August 23, 2019, to resolve a dispute. The dispute arose from the inclusion of a 'no-poach' provision in legacy franchise agreements, which the State of Washington alleged violated the Washington Consumer Protection Act. This provision prohibited franchisees from soliciting or hiring employees from Jersey Mike's or other franchisees. Prior to the complaint, Jersey Mike's had already publicly announced they would not enforce the provision and had removed it from their standard franchise agreement. They also amended all franchise agreements for restaurants in Washington.

As part of the Assurance of Discontinuance, Jersey Mike's agreed to continue its franchising practice without including the 'no-poach' provision in future agreements and to refrain from enforcing it in existing agreements. Jersey Mike's also agreed to pay the State of Washington $150,000.

Importantly, the settlement was structured such that Jersey Mike's did not admit to any fact, liability, misconduct, or wrongdoing. This means that while Jersey Mike's paid a sum of money to resolve the dispute, they did not concede any guilt or responsibility for the allegations made by the State of Washington. For a prospective franchisee, this indicates that Jersey Mike's was willing to settle the dispute to avoid further legal proceedings, but it does not imply that the company acknowledged any violation of the law.