What state law governs the All States M.E.D. Franchise Agreement?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
he effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise."
| FRANCHISEE: | FRANCHISOR: All States M.E.D. Franchising, LLC |
|---|---|
| By: | By: |
| By: | Date: |
ILLINOIS ADDENDUM TO THE FRANCHISE AGREEMENT
If any of the terms of the Franchise Agreement are inconsistent with the terms below, the terms below control.
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- Illinois law governs the Franchise Agreement.
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- In conformance with Section 4 of the Illinois Franchise Disclosure Act, any provision in a franchise agreement that designates jurisdiction and venue in a forum outside of the State of Illinois is void. However, a franchise agreement may provide for arbitration to take place outside of Illinois.
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- Franchisee rights upon termination and non-renewal are in sections 19 and 20 of the Illinois Franchise Disclosure Act.
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- In conformance with Section 41 of the Illinois Franchise Disclosure Act, any condition, stipulation, or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void.
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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 Illinois Addendum to the Franchise Agreement states that Illinois law governs the Franchise Agreement, but only if the franchise is governed by the Illinois Franchise Disclosure Act. This means that if a franchisee is operating an All States M.E.D. franchise in Illinois, the terms of the agreement will be interpreted and enforced under Illinois law.
This addendum also specifies that any provision designating jurisdiction and venue outside of Illinois is void, although arbitration may still take place outside the state. This protects Illinois franchisees from having to resolve disputes in distant or inconvenient locations. Additionally, the addendum ensures that franchisees cannot waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law.
For prospective All States M.E.D. franchisees in Illinois, this addendum provides significant legal protections. It ensures that their rights under Illinois law are upheld and that they have a fair legal recourse within the state. Franchisees outside of Illinois should consult their state's addendum (if any) to understand which state laws govern their franchise agreement.