Does the All States M.E.D. franchise agreement require a jury trial for any claims between the parties?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
In any trial between any of the parties as to any Claims, you and we agree to waive our rights to a jury trial and instead have such action tried by a judge.
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to the 2024 All States M.E.D. Franchise Disclosure Document, the franchise agreement includes a jury waiver. This means that in any trial regarding claims between All States M.E.D. and the franchisee, both parties agree to waive their rights to a jury trial, and the action will instead be tried by a judge. This jury waiver is part of the standard dispute resolution terms outlined in the franchise agreement.
However, this jury waiver does not apply in all cases. Specifically, for franchises governed by North Dakota law, the provisions concerning jury waiver are deleted, and instead, any claim must be settled solely through arbitration before the American Arbitration Association. Similarly, Minnesota law prohibits the franchisor from requiring a waiver of a jury trial. Therefore, franchisees in North Dakota and Minnesota retain their right to a jury trial, despite the standard agreement.
This jury waiver has significant implications for prospective franchisees. Waiving the right to a jury trial means that a judge, rather than a jury of peers, will decide the outcome of any legal disputes. Judges are generally considered to be more knowledgeable about the law, but juries may be more sympathetic to a franchisee's situation. Franchisees should consider the potential benefits and drawbacks of waiving their right to a jury trial before signing the franchise agreement. Franchisees should also be aware of the specific laws in their state, as these may override certain provisions of the franchise agreement, as is the case in North Dakota and Minnesota.