What pricing requirements are unlawful for Zoomin Groomin franchise agreements in Washington?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Questionnaires and Acknowledgments. No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
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- Prohibitions on Communicating with Regulators. Any provision in the franchise agreement or related agreements that prohibits the franchisee from communicating with or complaining to regulators is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h).
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- Advisory Regarding Franchise Brokers. Under the Washington Franchise Investment Protection Act, a "franchise broker" is defined as a person that engages in the business of the offer or sale of franchises. A franchise broker represents the franchisor and is paid a fee for referring prospects to the franchisor and/or selling the franchise. If a franchisee is working with a franchise broker, franchisees are advised to carefully evaluate any information provided by the franchise broker about a franchise
19. Initial Fee Deferral:
The franchise agreement is amended to also provide: "Initial fees will be deferred until the Franchisor has fulfilled its initial pre-opening obligations to the franchisee and the franchisee is open for business."
The undersigned does hereby acknowledge receipt of this addendum.
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to the 2025 Zoomin Groomin Franchise Disclosure Document, several provisions within the franchise agreement are unenforceable in Washington state. These include any terms that restrict a franchisee from communicating with or complaining to regulators, as such restrictions are inconsistent with the instructions in the Franchise Disclosure Document and violate RCW 19.100.180(2)(h).
Additionally, any statement, questionnaire, or acknowledgment signed by a Zoomin Groomin franchisee at the start of the franchise relationship cannot waive claims under state franchise law, including claims of fraud in the inducement. Franchisees also cannot disclaim reliance on statements made by Zoomin Groomin or its representatives. This provision overrides any conflicting terms in documents related to the franchise agreement.
Furthermore, the Zoomin Groomin franchise agreement cannot contain a general release or waiver of rights that would bind the franchisee to waive compliance with the Washington Franchise Investment Protection Act, unless the release is part of a negotiated settlement with independent legal counsel after the agreement is already in effect, as per RCW 19.100.220(2). This also applies to releases or waivers connected to franchise renewals or transfers, with the same exception for negotiated settlements.
Finally, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.