What is the significance of RCW 19.100.190 regarding the Ledgers franchise agreement?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
RCW 19.100.190 permits franchisees to seek treble damages under certain circumstances.
Accordingly, provisions contained in the franchise agreement or elsewhere requiring franchisees to waive exemplary, punitive, or similar damages are void, except when executed pursuant to a negotiated settlement after the agreement is in effect and where the parties are represented by independent counsel, in accordance with RCW 19.100.220(2).
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 Ledgers Franchise Disclosure Document, RCW 19.100.190 permits franchisees in Washington to seek treble damages under certain circumstances. As a result, any provisions in the Ledgers franchise agreement that require franchisees to waive exemplary, punitive, or similar damages are void.
However, there is an exception: such waivers are allowed if they are part of a negotiated settlement reached after the franchise agreement is already in effect. In this case, the waiver is only valid if both parties are represented by independent legal counsel, in accordance with RCW 19.100.220(2).
This means that Ledgers franchisees in Washington have the right to pursue significant damage claims under specific conditions, and the standard franchise agreement cannot force them to waive this right unless a specific settlement is negotiated with legal representation after the agreement has begun.