Which Wisconsin law prohibits Ledgers from terminating, canceling, not renewing, or making a substantial change in competitive circumstances without good cause?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
- Item 17 of the Franchise Disclosure Document and Section 8 of the Franchise Agreement permit Franchisor to terminate, cancel, not renew or make a substantial change in competitive circumstances in the Franchise Agreement, without cause under certain circumstances. These provisions are prohibited by the Wisconsin Fair Dealership Law, § 135.04. Accordingly, Item 17 of the Franchise Disclosure Document and Section 8 of the Franchise Agreement are hereby amended to prevent the termination, cancellation, non-renewal or substantial change in competitive circumstances of the Franchise Agreement without good cause.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the Wisconsin Fair Dealership Law, § 135.04, prohibits Ledgers from terminating, canceling, not renewing, or making a substantial change in competitive circumstances in the Franchise Agreement without good cause.
This law directly amends certain provisions in Item 17 of the FDD and Section 8 of the Franchise Agreement. Specifically, these sections initially permitted Ledgers to take such actions without cause under certain circumstances. However, due to the Wisconsin Fair Dealership Law, these provisions are amended to ensure that such actions can only be taken with good cause.
This means that if you are a Ledgers franchisee in Wisconsin, you have additional protection against arbitrary termination or changes to your franchise agreement. Ledgers must demonstrate a legitimate reason ('good cause') before making significant changes that could negatively impact your business. This provides a more stable and predictable business environment for franchisees operating in Wisconsin.