In which states are Noodles & Company franchisees protected from disclaiming reliance on statements made by Noodles & Company or its representatives?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
The following provision applies only to franchisees and franchises that are subject to the state franchise registration/disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin.
No statement, questionnaire, or acknowledgement signed or agreed to by you in connection with the commencement of the franchise relationship shall have the effect of (i) waiving and claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by us, any franchise seller, or any other person acting on our behalf. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 23 — RECEIPT (FDD pages 99–350)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, franchisees in specific states are protected from disclaiming reliance on statements made by Noodles & Company or its representatives. This protection applies to franchisees and franchises subject to state franchise registration/disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin.
This means that in these states, any statement, questionnaire, or acknowledgment signed by the franchisee cannot waive claims under applicable state franchise law, including claims of fraud in the inducement. Furthermore, franchisees in these states cannot disclaim reliance on any statement made by Noodles & Company, its franchise sellers, or anyone acting on their behalf. This provision is designed to protect franchisees from being bound by agreements that might force them to waive their rights based on misrepresentations or misleading statements made during the franchise sales process.
For a prospective Noodles & Company franchisee, this protection is significant. It ensures that if the franchisee believes they were misled by statements made by Noodles & Company during the franchise sales process, they can pursue legal claims without being barred by a disclaimer. This protection supersedes any other conflicting terms in any document executed in connection with the franchise agreement, reinforcing the franchisee's rights under state franchise laws.