What is the governing law of the 1-800-GOT-JUNK? Franchise Agreement?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
The following modifications are to the 1-800-GOT-JUNK?
LLC Franchise Disclosure Document and
may supersede, to the extent then required by valid applicable state law, certain portions of the Franchise
Agreement dated __________________, 20.
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.
ACKNOWLEDGMENT:
It is agreed that the foregoing state law addendum supersedes any inconsistent portion of the Franchise
Agreement dated the _____ day of _________________, 20, and of the Franchise Disclosure Document,
but only to the extent they are then valid requirements of an applicable and enforceable state law, and for only
so long as the state law remains in effect.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the specific governing law of the 1-800-GOT-JUNK? Franchise Agreement is not explicitly stated within the provided excerpts. However, the document includes addenda that address how state laws may supersede certain portions of the Franchise Agreement. This implies that while there may be a primary governing law, state-specific laws can take precedence under certain conditions.
Several states, such as California, Kansas, and Wisconsin, have addenda that modify the Franchise Agreement to comply with their specific franchise laws. These addenda ensure that franchisees are not waiving rights or claims under state franchise laws and that certain provisions, like indemnification clauses, are reasonable and enforceable within those states. For example, the Kansas addendum clarifies that franchisees are not required to indemnify 1-800-GOT-JUNK? for claims resulting solely from the franchisor's breach of the agreement.
Prospective franchisees should carefully review any state-specific addenda applicable to their location and understand how these addenda modify the standard Franchise Agreement. It is also important to consult with legal counsel to fully understand their rights and obligations under both the Franchise Agreement and any applicable state laws. Franchisees should inquire with 1-800-GOT-JUNK? about the primary governing law of the Franchise Agreement and how it interacts with these state-specific addenda to ensure full compliance and protection of their legal rights.