What is the purpose of the Addendum to the Franchise Agreement for the state of Rhode Island for Amerispec Inspection Services?
Amerispec_Inspection_Services Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Section 21 of the Agreement is amended by adding the following language: Section 19-28.1-14 of the Rhode Island Franchise Investment Act provides that "A provision in a Franchise Agreement restricting jurisdiction or venue to a forum outside this state or requiring the application of the laws of another state is void with respect to a claim otherwise enforceable under the Act."
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- In all other respects, the License Agreement will be construed and enforced according to its terms.
Source: Item 23 — Receipts (FDD pages 47–172)
What This Means (2025 FDD)
According to the 2025 Amerispec Inspection Services Franchise Disclosure Document, the Addendum to the Franchise Agreement for the state of Rhode Island addresses specific legal requirements within that state. Specifically, it amends Section 21 of the agreement to include language referencing Section 19-28.1-14 of the Rhode Island Franchise Investment Act. This act stipulates that any provision in a Franchise Agreement restricting jurisdiction or venue to a location outside of Rhode Island, or requiring the application of laws from another state, is void if a claim is otherwise enforceable under the Act.
In practical terms, this means that if a franchisee in Rhode Island has a legal claim that falls under the Rhode Island Franchise Investment Act, they cannot be forced to resolve the dispute in another state or under another state's laws, regardless of what the standard Franchise Agreement might say. This addendum ensures that the Amerispec Inspection Services franchise agreement complies with Rhode Island law, protecting the franchisee's right to pursue claims within their own state under the protections of their state's laws.
The addendum also states that in all other respects, the License Agreement will be construed and enforced according to its terms. This clarifies that only the specific clause regarding jurisdiction and venue is modified, and all other aspects of the agreement remain in full effect. This type of addendum is common in franchising to address state-specific regulations that may differ from federal law or the standard terms of the franchise agreement.