factual

Under what conditions is a release or waiver of rights void for a Ledgers franchise in Washington?

Ledgers Franchise · 2025 FDD

Answer from 2025 FDD Document

A release or waiver of rights in the franchise agreement or related agreements purporting to bind the franchisee to waive compliance with any provision under the Washington Franchise Investment Protection Act or any rules or orders thereunder is 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).

In addition, any such release or waiver executed in connection with a renewal or transfer of a franchise is likewise void except as provided for in RCW 19.100.220(2).

Source: Item 22 — CONTRACTS (FDD page 46)

What This Means (2025 FDD)

According to Ledgers' 2025 Franchise Disclosure Document, a release or waiver of rights within the franchise agreement or related documents is generally void in Washington under certain circumstances. Specifically, if the release or waiver intends to waive compliance with any provision of the Washington Franchise Investment Protection Act, or any related rules or orders, it is considered void.

However, there are exceptions to this rule. A release or waiver is permissible if it is executed as part of a negotiated settlement after the franchise agreement is already in effect. In this case, both Ledgers and the franchisee must be represented by independent legal counsel, adhering to RCW 19.100.220(2).

Additionally, any release or waiver connected to the renewal or transfer of a Ledgers franchise is also void unless it meets the conditions specified in RCW 19.100.220(2). This means that franchisees in Washington have significant protection against unknowingly waiving their rights under the Washington Franchise Investment Protection Act, unless specific conditions are met during a settlement, renewal, or transfer, ensuring they have proper legal representation.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.