factual

If there are inconsistencies between the Pearce Bespoke Disclosure Document or Franchise Agreement and Maryland Franchise Law, which provisions are deleted?

Pearce_Bespoke Franchise · 2025 FDD

Answer from 2025 FDD Document

To the extent of any inconsistencies with the Maryland Franchise Registration and Disclosure Law contained in this Disclosure Document or the Franchise Agreement, such inconsistent provisions are hereby deleted.

Source: Item 22 — CONTRACTS (FDD page 39)

What This Means (2025 FDD)

According to the 2025 Pearce Bespoke Franchise Disclosure Document, if any inconsistencies exist between the Disclosure Document or the Franchise Agreement and the Maryland Franchise Registration and Disclosure Law, the inconsistent provisions are deleted. This ensures that the franchise agreement adheres to Maryland law, specifically regarding franchisee rights and franchisor responsibilities.

Several specific amendments clarify the relationship between the Pearce Bespoke franchise agreement and Maryland law. For example, the Maryland Franchise Law prohibits Pearce Bespoke from requiring a franchisee to release the franchisor from liability under that law as a condition for the sale, renewal, assignment, or transfer of the franchise. The agreement also specifies that any claims arising under the Maryland Franchise Law must be brought within three years after the grant of the franchise.

Furthermore, Pearce Bespoke's right to terminate a franchise agreement upon the franchisee's bankruptcy may not be enforceable under federal bankruptcy law. The agreement also affirms that franchisees retain the right to file lawsuits alleging a cause of action under the Maryland Franchise Law in a competent court within Maryland. These stipulations collectively ensure that franchisees operating in Maryland are afforded the full protections of Maryland law, regardless of the terms outlined in the standard Pearce Bespoke franchise agreement.

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.