What section of the Mr. Sandless Franchise Agreement is amended regarding the statute of limitations for claims?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
The limitation on the period of time arbitration and/or litigation claims must be brought pursuant to Section 24.9 of the Franchise Agreement shall not act to reduce the 3 year statute of limitations afforded a franchisee for bringing a claim arising under the Maryland Franchise Registration and Disclosure Law.
Item 17 of the Franchise Disclosure Document and Section 24.9 of the Franchise Agreement are amended to state that any arbitration and/or litigation claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within 3 years after the grant of the franchise.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 30–34)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, Section 24.9 of the Franchise Agreement, which addresses the period for bringing arbitration or litigation claims, is amended concerning the statute of limitations. Specifically, for claims arising under the Maryland Franchise Registration and Disclosure Law, the amendment ensures that the franchisee retains the benefit of a 3-year statute of limitations.
This amendment clarifies that the standard limitation period within the Franchise Agreement will not reduce the 3-year window provided under Maryland law for franchisees to bring claims related to franchise registration and disclosure issues. This is particularly relevant for franchisees operating in Maryland, as it provides them with a protected timeframe to address potential violations of the Maryland Franchise Registration and Disclosure Law.
In essence, this modification ensures compliance with Maryland state law, which offers franchisees a specific protection regarding the time frame within which they can bring claims. It overrides any potentially conflicting terms in the standard Franchise Agreement, providing a more favorable condition for franchisees in Maryland regarding legal claims under franchise law.