What state's laws govern the Apricot Lane Franchise Agreement?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
| PROVISION | SECTION IN FRANCHISE AGREEMENT | SUMMARY | |
|---|---|---|---|
| r. | Non-competition covenants after the franchise is terminated or expires | Section 17.B in Franchise Agreement | For 2 years after expiration or termination for any reason, you may not own or be involved in competing business within your former Territory or within 10 miles of any other Store. (Subject to state law.) |
| s. | Modification of the | Sections 23.E in | Franchise Agreement may not be amended |
| agreement | Franchise Agreement | except in writing and agreed to by both parties. | |
| t. | Integration/merger clause | Section 23.E in Franchise Agreement | Only terms of Franchise Agreement are binding (subject to state law). Any representations or promises outside of the disclosure document and franchise agreement may not be enforceable. |
| u. | Dispute resolution by arbitration or mediation | 22.A | All disputes subject to arbitration in Solano, County, California, subject to state law. |
| v. | Choice of forum | Section 22.C in Franchise Agreement | Subject to arbitration requirement, litigation must be in California. (Subject to state law) Federal, state, and local courts located in the county or judicial district in which COUNTRY VISIONS maintains its principal offices at the time of litigation (currently, Fairfield, California) |
| w. | Choice of law | Section 22.B | Except for Federal Arbitration Act and other federal law, the laws of the state in which in which the Apricot Lane franchised business is operating under the Franchise Agreement. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 35–39)
What This Means (2025 FDD)
According to the 2025 Apricot Lane Franchise Disclosure Document, the laws governing the Apricot Lane franchise agreement are those of the state in which the franchised business is operating. However, this is with the exception of the Federal Arbitration Act and other federal laws, which will take precedence.
This means that if a dispute arises concerning the franchise agreement, the laws of the state where the Apricot Lane store is located will generally apply. For example, if an Apricot Lane franchise is located in Texas, Texas state law would govern the agreement. This can be beneficial for franchisees as it allows them to operate under the legal framework of their local jurisdiction.
However, it's important to note that the Federal Arbitration Act and other federal laws can override state law in certain situations. Additionally, disputes are subject to arbitration in Solano County, California, and litigation must occur in California, subject to state law. Franchisees should be aware of these provisions and how they might impact dispute resolution.