Can arbitration for an Amorino franchise agreement take place outside of Illinois?

According to Amorino's 2025 Franchise Disclosure Document, while the franchise agreement is governed by Illinois law, it may allow for arbitration to occur outside of the state of Illinois. This is in accordance with Section 4 of the Illinois Franchise Disclosure Act, which states that any provision designating jurisdiction and venue outside of Illinois is void, but explicitly makes an exception for arbitration.

For a prospective Amorino franchisee, this means that while lawsuits must be filed in Illinois, the franchise agreement can stipulate that disputes are settled through arbitration in a location outside of Illinois. Arbitration is a form of alternative dispute resolution where a neutral third party hears both sides of a dispute and renders a decision, which can be binding or non-binding depending on the agreement.

This clause is important because it clarifies the legal venue for resolving disputes. While Illinois law protects franchisees by ensuring jurisdiction and venue are within the state, Amorino retains the flexibility to specify an out-of-state location for arbitration. Franchisees should carefully consider the implications of agreeing to arbitration outside of Illinois, as it could involve additional travel and expenses.