What law governs the 1 800 Packouts Franchise Agreement?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary | |
|---|---|---|---|
| employed during the past 12 months by us, our affiliates, or our franchisees. | |||
| s. | Modification of the 18B agreement | 18.B | No modifications unless written agreement signed by both parties. |
| t. | Integration/merger 19B clause | 18.A | Only the terms of the Franchise Agreement are binding (subject to state law). Any representations or promises made outside of the disclosure document and Franchise Agreement may not be enforceable. |
| u. | Dispute resolution by 20B arbitration or mediation | Not applicable | Not applicable |
| v. | v. Choice of forum 21B | 17.A | All actions must be brought in federal or state courts located in Utah County, Utah (or the most proximate thereto) or federal or state courts with jurisdiction over the county in which our principal office is located at the time any litigation commences (subject to applicable state law). |
| w. | Choice of law 22B | 17.B | Utah law governs (subject to applicable state law). |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 49–53)
What This Means (2025 FDD)
According to 1 800 Packouts' 2025 Franchise Disclosure Document, the Franchise Agreement is governed by Utah law. However, this is subject to applicable state law, meaning that certain provisions may be superseded or modified based on the franchisee's location.
This "choice of law" provision is a standard clause in franchise agreements. It aims to provide clarity and predictability by specifying which jurisdiction's laws will be used to interpret the agreement. However, the caveat that it's "subject to applicable state law" acknowledges that certain state franchise laws may override the chosen law, particularly concerning franchise relationship laws and consumer protection statutes.
For a prospective 1 800 Packouts franchisee, this means that while Utah law forms the foundation of the agreement, they must also be aware of the franchise laws in their own state. These laws could impact aspects such as termination rights, renewal conditions, and dispute resolution processes. It would be prudent for a potential franchisee to consult with a legal professional to understand how their local state laws interact with the 1 800 Packouts Franchise Agreement.