factual

What state's laws govern the Amerispec Inspection Services Franchise Agreement in Illinois?

Amerispec_Inspection_Services Franchise · 2025 FDD

Answer from 2025 FDD Document

ADDENDUM TO FRANCHISE AGREEMENT FOR THE STATE OF ILLINOIS

This Addendum relates to franchises sold in the state of Illinois and is intended to comply with Illinois statutes and regulations. In consideration of the execution of the Franchise Agreement (the "Agreement"), TCB AMERISPEC, LLC (the "Company") and Franchisee agree to amend the Agreement as follows:

    1. Illinois law governs the Agreements.
    1. 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.
    1. Section 19 of the Illinois Franchise Disclosure Act sets forth the conditions and notice requirements for termination of a franchise agreement.
    1. Section 20 of the Illinois Franchise Disclosure Act sets forth the conditions of non-renewal of a franchise agreement, along with the compensation requirements.
      1. Section 21.10 of the Agreement is amended by adding the following language:

"This Agreement takes effect upon its acceptance and execution by the Company, and except for matters governed by the Illinois Franchise Disclosure Act, is to be governed by and construed in accordance with the laws of the State of Illinois."

    1. 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.
    1. In all other respects, the Franchise 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 laws of Illinois govern the Franchise Agreement for franchises sold in Illinois. This is specified in the Addendum to the Franchise Agreement for the State of Illinois. Specifically, the addendum states that the Franchise Agreement is to be governed and construed in accordance with the laws of the State of Illinois, except for matters governed by the Illinois Franchise Disclosure Act.

This means that if there are disputes or legal questions regarding the franchise agreement in Illinois, Illinois law will be applied. However, the Illinois Franchise Disclosure Act will take precedence over Illinois law in matters specifically governed by that Act.

This is further reinforced by statements within the Addendum to the Franchise Disclosure Document for the State of Illinois, which reiterate that Illinois law governs the agreements and that any provision requiring a waiver of compliance with Illinois law is void. This ensures that Amerispec Inspection Services franchisees in Illinois receive the full protection of Illinois state laws and regulations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.