In North Dakota, are sections of the 1-800-GOT-JUNK? Franchise Agreement requiring a waiver of exemplary and punitive damages enforceable?

According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, sections of the Franchise Agreement that require a franchisee to waive exemplary and punitive damages may not be enforceable under North Dakota law. Any such provisions are amended to the minimum extent required by law.

This means that if the standard 1-800-GOT-JUNK? franchise agreement contains clauses where the franchisee agrees to waive their right to seek exemplary or punitive damages in disputes, those clauses might not hold up in North Dakota courts. The addendum ensures that the franchise agreement is adjusted to comply with North Dakota law, offering more protection to the franchisee.

For a prospective 1-800-GOT-JUNK? franchisee in North Dakota, this is a beneficial modification. It means they retain the right to pursue exemplary or punitive damages in legal disputes with 1-800-GOT-JUNK? if circumstances warrant it, despite what the standard franchise agreement might say. This addendum aims to protect franchisees from being bound by clauses that could be deemed unfair or unenforceable under North Dakota law.