Which state's laws govern the Note for Americas Best Value Inn?

According to the 2025 Americas Best Value Inn Franchise Disclosure Document, the Note is governed by the laws of the Commonwealth of Massachusetts. Specifically, the Note is delivered in Massachusetts, intended to be performed there, and is to be construed and interpreted in accordance with the internal laws of Massachusetts, without regard to its conflict of laws principles. This means that any legal disputes related to the Note will be subject to Massachusetts law.

Furthermore, the FDD states that any legal action necessary to enforce the terms of the Note may be brought by the Holder in the Commonwealth of Massachusetts. The Maker, which is the franchisee, submits to the jurisdiction of any federal or state court in Massachusetts. This clause establishes that Massachusetts courts have jurisdiction over disputes related to the Note, and the franchisee consents to this jurisdiction.

This is a common practice in franchising, where the franchisor often designates a specific jurisdiction for legal matters to ensure consistency and predictability in legal proceedings. For a prospective Americas Best Value Inn franchisee, this means that if any legal issues arise concerning the Note, they may need to engage legal counsel familiar with Massachusetts law and potentially litigate in Massachusetts courts, regardless of where their franchise is located. Franchisees should consider this when evaluating the franchise opportunity and assessing potential legal costs.