When does the one-year limitation period begin for a Spray Net franchisee's cause of action?

According to Spray Net's 2025 Franchise Disclosure Document, a franchisee has a limited time to bring a cause of action against Spray Net. Specifically, any cause of action arising out of or under the Franchise Agreement must be brought within one year. This one-year period starts either after the act, transaction, or occurrence upon which the action is based, or one year after the franchisee becomes aware of facts reasonably indicating a potential claim against Spray Net, whichever occurs sooner. If an action is not brought within this period, it is barred as a claim, counterclaim, defense, or set-off.

This limitation of actions clause means a Spray Net franchisee needs to be vigilant in identifying and pursuing any potential claims against the franchisor. The "clock" starts ticking as soon as the event occurs or when the franchisee should reasonably be aware of it. Franchisees must act quickly to investigate and, if necessary, initiate legal proceedings within the one-year timeframe.

It is important to note that this limitation may be superseded by state-specific franchise laws. For example, the Illinois Addendum notes that no action can be maintained to enforce any liability created by the Illinois Act unless brought before the expiration of 3 years from the act or transaction constituting the violation upon which it is based, the expiration of 1 year after Franchisee become aware of facts or circumstances reasonably indicating that Franchisee may have a claim for relief in respect to conduct governed by the Illinois Act, or 90 days after delivery to the Franchisee of a written notice disclosing the violation, whichever shall first expire. Similarly, the Maryland Addendum states that any provision of the Agreement which provides for a period of limitations for causes of action shall not apply to causes of action under the Maryland Franchise Law, Business Regulation Article, §14-227, Annotated Code of Maryland and that Franchisee must bring an action under such law within three years after the grant of the franchise.

Prospective Spray Net franchisees should consult with an attorney to fully understand the implications of this limitation of actions clause and how it interacts with applicable state laws. They should also be aware of the notice requirement, which mandates notifying Spray Net within 30 days of any violation or breach as a condition precedent to commencing an action for damages.