In North Dakota, are sections of the 1-800-GOT-JUNK? Disclosure Document and Franchise Agreement requiring consent to jurisdiction outside of North Dakota enforceable?

According to 1-800-GOT-JUNK?'s 2025 Franchise Disclosure Document, certain provisions within the Disclosure Document and Franchise Agreement may not be enforceable in North Dakota. Specifically, this applies to sections that require a franchisee to consent to the jurisdiction of courts outside of North Dakota or that mandate dispute resolution to occur outside of North Dakota. These sections are amended to the minimum extent required by North Dakota law. This means that if North Dakota law conflicts with these sections, the state law will take precedence.

This amendment is outlined in the North Dakota Addendum to the Franchise Disclosure Document and Franchise Agreement. The addendum explicitly states that these sections "may not be enforceable under North Dakota law, and are amended accordingly to the minimum extent required by law." This ensures that the franchise agreement complies with North Dakota's legal requirements, protecting the franchisee's rights within the state.

For a prospective 1-800-GOT-JUNK? franchisee in North Dakota, this means that they may not be obligated to resolve disputes or be subject to the jurisdiction of courts located outside of North Dakota, despite what the standard franchise agreement might initially stipulate. It is important for potential franchisees to carefully review the North Dakota Addendum and consult with legal counsel to fully understand their rights and obligations under the franchise agreement within the context of North Dakota law.