Does the Aerus agreement include a waiver of jury trial for litigation related to the agreement?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
Company and undersigned agree that in any litigation, suit, action, counterclaim, or proceeding, whether at law or in equity, which arises out of, concerns, or relates to this Agreement, any and all transactions contemplated hereunder, the performance of this Agreement, or otherwise, trial shall be to a court of competent jurisdiction and not to a jury.
Company and undersigned hereby irrevocably waive any right either party may have to a trial by jury.
Either Company or undersigned may file an original counterpart or a copy of this Agreement with any court as written evidence of the consent of Company or undersigned of the waiver of their right to trial by jury.
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, the franchise agreement includes a waiver of jury trial. Specifically, the agreement stipulates that in any litigation, suit, action, counterclaim, or proceeding, whether at law or in equity, related to the agreement, the trial will be conducted by a court of competent jurisdiction rather than a jury. Both Aerus and the franchisee irrevocably waive their rights to a trial by jury. Either party can file a copy of the agreement with any court as written evidence of this consent.
This waiver means that any disputes arising from the franchise agreement will be resolved by a judge, not a jury. This can affect the outcome of legal proceedings, as a judge's legal expertise may lead to different conclusions than a jury of laypersons. Jury waivers are relatively common in franchise agreements.
However, the FDD also includes a North Dakota addendum that states, "The Franchise Agreement requires the franchisee to consent to a waiver of trial by jury. This waiver may not be enforceable under North Dakota law." This indicates that the enforceability of the jury trial waiver may vary depending on the franchisee's location and relevant state laws. Prospective franchisees, particularly those in North Dakota, should consult with legal counsel to understand the implications of this waiver and its enforceability in their specific jurisdiction.