For Learningrx franchisees in Indiana, can a statement signed by a franchisee disclaim reliance on any statement made by the franchisor?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, Indiana law protects franchisees from waiving certain rights. Specifically, any statement, questionnaire, or acknowledgment signed by a Learningrx franchisee in Indiana cannot disclaim reliance on statements made by Learningrx or its representatives. This protection extends to claims related to state franchise law and fraud in the inducement.
This provision ensures that Learningrx franchisees in Indiana cannot inadvertently waive their right to pursue legal action based on misrepresentations made during the franchise sales process. It strengthens the franchisee's position by preventing Learningrx from enforcing clauses that might otherwise limit their liability for pre-sale statements.
This protection is implemented through an addendum to the standard franchise agreement for Learningrx franchises operating in Indiana. This addendum explicitly states that any agreement by the franchisee to disclaim reliance on the franchisor's statements is invalid. This addendum takes precedence over any conflicting terms in the standard franchise agreement, ensuring the franchisee's rights are upheld under Indiana law.
In practical terms, this means that if a prospective Learningrx franchisee in Indiana believes they were misled by statements made by Learningrx during the sales process, they are not prevented from pursuing a claim simply because they signed a document disclaiming reliance on those statements. This addendum provides an additional layer of protection for franchisees in Indiana, ensuring they can hold Learningrx accountable for their representations.