How is Item 17(o) of the Pearce Bespoke Franchise Agreement modified for Washington franchisees?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
tail Franchising requires us to defer payment of the initial franchise fee and other initial payments owed by franchisees to the franchisor until the franchisor has completed its pre-opening obligations under the franchise agreement.
PEARCE BESPOKE FRANCHISING, LLC Nathan Pearce Chief Exe
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke Franchise Disclosure Document, there is a specific addendum for Washington franchisees that addresses potential conflicts of law. In the event of any conflict between the standard franchise agreement and Washington state law, specifically the Washington Franchise Investment Protection Act (Chapter 19.100 RCW), the provisions of the Washington Act will take precedence.
This modification ensures that Pearce Bespoke franchisees in Washington are protected by their state's franchise laws. It means that certain clauses in the standard franchise agreement that might not comply with Washington law will be superseded by the state's regulations. This could cover various aspects of the franchise relationship, including termination, renewal, and transfer rights.
Prospective Pearce Bespoke franchisees in Washington should carefully review both the franchise agreement and the Washington Franchise Investment Protection Act to understand their rights and obligations. They should also seek legal counsel to ensure full comprehension of how the state law interacts with the franchise agreement. This addendum provides an additional layer of protection for franchisees operating in Washington, ensuring compliance with local laws and regulations.