In Washington state, can RCW 19.100.180 supersede the Kidokinetics franchise agreement?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
In the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW will prevail.
RCW 19.100.180 may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise. There may also be court decisions which may supersede the franchise agreement in your relationship with the franchisor including the areas of termination and renewal of your franchise.
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 23 — RECEIPT (FDD pages 59–205)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW, will take precedence if there are conflicting laws. Specifically, RCW 19.100.180 may supersede the Kidokinetics franchise agreement, especially in matters concerning the termination and renewal of the franchise. Court decisions may also supersede the franchise agreement in these areas.
This means that certain terms within the Kidokinetics franchise agreement may not be enforceable in Washington if they conflict with the state's franchise laws. A prospective franchisee in Washington should be aware that the state's laws offer certain protections that override the standard contractual terms. This includes potential limitations on the franchisor's ability to terminate or refuse renewal of the franchise agreement.
Furthermore, any arbitration or mediation involving a Kidokinetics franchise purchased in Washington must occur within the state, unless both parties agree to an alternative location or the arbitrator/mediator determines otherwise. Additionally, if litigation is not precluded by the franchise agreement, a franchisee can bring legal action related to the sale of franchises or violations of the Washington Franchise Investment Protection Act in Washington state. This provides a legal venue within the franchisee's state, which can be more convenient and cost-effective than other jurisdictions.
Therefore, a potential Kidokinetics franchisee in Washington should carefully review the franchise agreement alongside Chapter 19.100 RCW to understand their rights and protections under Washington law. Consulting with an attorney experienced in franchise law is advisable to fully grasp the implications of these state-specific provisions.