Does the Bambu MUD Agreement specify a venue for disputes?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.1. Disputes/Governing Law. The parties agree that any dispute between the parties arising out of the terms of this MUD Agreement shall be governed by the applicable provisions of the Franchise Agreement executed concurrently herewith including the arbitration, choice of law, and venue provisions, which terms and conditions are by this reference incorporated herein. This MUD Agreement shall be governed by and construed in accordance with the laws of the State of Colorado.
- 8.2. Binding Effect. This MUD Agreement shall be binding upon and inure to the benefit of each of the parties' respective heirs, successors, assigns and personal representatives.
- 8.3.
Review.
Notwithstanding the foregoing, the parties agree that the Colorado Consumer Protection Act (COLO.
REV.
STAT.
ANN.
Sections 6-1-101, et seq.) shall not apply to this Agreement or any disputes between the parties.
If a claim is asserted in any legal proceeding not subject to mandatory arbitration, as specified in Section 23.1 above, involving Franchisee and/or the Franchisee Affiliates, on the one side, and Bambu and/or the Bambu Affiliates, on the other side, both parties consent to jurisdiction and venue for disputes between them in the state and federal courts of Colorado, U.S.A., and each waive any objection either may have to the personal jurisdiction of or venue in the state and federal courts of Colorado, U.S.A.
Notwithstanding the foregoing, any legal proceeding by Bambu or any Bambu Affiliate not subject to mandatory arbitration may be brought in any court of competent jurisdiction in the country, state, province, or other geographic area in which Franchisee's shoppe is located or in which Franchisee or any Franchisee Affiliate resides or owns assets.
IF A CLAIM MAY BE BROUGHT IN COURT, THEN BAMBU, THE BAMBU AFFILIATES, FRANCHISEE, AND THE FRANCHISEE AFFILIATES EACH WAIVE THEIR RIGHTS TO A TRIAL BY JURY.
Franchisee and Bambu have negotiated regarding a forum in which to resolve any disputes that arise between them and have agreed to select a forum in order to promote stability in their relationship.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, the MUD (Multi-Unit Development) Agreement specifies that any dispute arising from the terms of the MUD Agreement will be governed by the applicable provisions of the Franchise Agreement, including the arbitration, choice of law, and venue provisions. The MUD Agreement is governed by and construed in accordance with the laws of the State of Colorado. If a claim is asserted in any legal proceeding not subject to mandatory arbitration, both parties agree that the exclusive venue for disputes between them will be in the state and federal courts of Colorado, U.S.A.
This means that if a franchisee has a dispute with Bambu related to the MUD Agreement, the venue for resolving that dispute will likely be determined by the Franchise Agreement. If the dispute proceeds in court rather than arbitration, the franchisee will likely have to litigate the matter in Colorado, regardless of where their franchise is located.
This venue selection could create additional costs and logistical challenges for a franchisee who does not reside in Colorado, as they would need to travel to Colorado for court proceedings and potentially hire local counsel. However, Bambu, or any Bambu Affiliate, can bring a legal proceeding not subject to mandatory arbitration in any court of competent jurisdiction in the country, state, province, or other geographic area in which the Franchisee's shoppe is located or in which the Franchisee or any Franchisee Affiliate resides or owns assets. Franchisees should carefully review the Franchise Agreement and MUD Agreement to understand the specific dispute resolution procedures and venue requirements.
The FDD also states that Bambu and the franchisee have negotiated regarding a forum in which to resolve any disputes that arise between them and have agreed to select a forum in order to promote stability in their relationship.