What section of the 1 800 Packouts Franchise Agreement addresses choice of forum?
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 the 2025 1 800 Packouts Franchise Disclosure Document, the choice of forum is addressed in Section 17.A of the Franchise Agreement. This provision dictates where any legal actions or lawsuits must be initiated.
Specifically, all actions must be brought in federal or state courts located in Utah County, Utah, or the most proximate thereto. Alternatively, actions can be brought in federal or state courts with jurisdiction over the county in which 1 800 Packouts' principal office is located at the time any litigation commences. This is subject to applicable state law.
This clause is important for prospective franchisees as it determines the location where they may have to pursue legal action against 1 800 Packouts or vice versa. Litigating in Utah could involve significant travel and legal expenses for a franchisee located outside of Utah. Franchisees should be aware of this requirement and consider the potential costs and inconveniences associated with it.