Association Negotiation
Worked with franchisee association in renegotiating terms of franchise agreement for entire system, allowing for greater cooperation with franchisor.
Franchise agreements nearly universally contain disclaimers of prior representations. In other words, when you sign a franchise agreement, you often agree that there were no representations that you relied on outside of the written franchise disclosure document and franchise agreement. While these disclaimers can be effective for franchisors in defending fraud claims, this is not always the case.
For example: (a) the disclaimers may be overbroad and not specific to the misrepresentation made; (b) you may have protections under certain state franchise laws; or (c) the disclaimer may not protect the franchisor from claims for fraud by omission.
If you feel you were sold a franchise under false pretenses, it is important to talk to a franchise lawyer as soon as possible. In addition to statutes of limitations, there are also often contractual limitations periods that provide a deadline by which you have to pursue your claim or you are forever barred from doing so.
Learn MoreSTRATEGY
We have helped franchisees recover damages and/or get out of franchise agreements where the franchisor (or franchise brokers) induced the sale of the franchise by fraud. In some cases, the misrepresentations relate to:
For franchisee clients, we have successfully asserted claims against franchisors for fraud, resulting in, among other things: (a) negotiated recovery of damages; (b) rescission of the franchise agreement; (c) negotiated exits from the franchise system; and (d) prevailing in arbitration proceedings.
Worked with franchisee association in renegotiating terms of franchise agreement for entire system, allowing for greater cooperation with franchisor.
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