Does the Aplus Franchise Agreement address the waiver of personal jurisdiction or venue?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
The parties waive all questions of personal jurisdiction or venue for the purposes of carrying out this provision.
Claims for injunctive relief may be brought by Company where Franchisee is located.
This exclusive choice of jurisdiction and venue provision shall not restrict the ability of the parties to confirm or enforce judgments in any appropriate jurisdiction.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, the Franchise Agreement explicitly addresses the waiver of personal jurisdiction or venue. The agreement states that any legal action brought by either Aplus or the franchisee must occur in the appropriate state or federal court located in or serving the judicial district where Aplus maintains its principal business address, which is currently Dallas County, Texas.
Specifically, the parties involved in the franchise agreement waive all questions of personal jurisdiction or venue to facilitate this provision. This means that both Aplus and the franchisee agree to be subject to the jurisdiction of the courts in Dallas County, Texas, and cannot object to the location of the court based on personal jurisdiction or venue arguments. However, claims for injunctive relief may be brought by Aplus where the franchisee is located.
This clause ensures that any disputes will be resolved in Aplus's home jurisdiction, which is a common practice in franchising. It is important for prospective franchisees to understand that they may be required to travel to Texas for any legal proceedings, which could incur additional costs for travel, accommodation, and local legal representation. The agreement also clarifies that this choice of jurisdiction and venue does not prevent either party from enforcing judgments in any appropriate jurisdiction.