Where must litigation be brought to resolve disputes related to the Bananas Smoothies Frozen Yogurt guaranty?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
This guaranty shall be interpreted and construed under the laws of the State of New Jersey. In the event of any conflict of law, the laws of the State of New Jersey shall prevail. Any and all disputes shall be resolved by litigation and brought, maintained and concluded exclusively in the State Court of New Jersey as hereinafter specified or in Federal Court in the United States District Court, Newark vicinage of New Jersey. If EYB initiates litigation in the State Court of New Jersey litigation may, in EYB's sole discretion, be instituted in Morris County, Essex County, or Union County, New Jersey. If litigation is instituted by any of the undersigned in State Court, such litigation shall be instituted maintained and concluded only in Morris County, New Jersey and if in Federal Court, the United States District Court in the Newark vicinage of New Jersey. The undersigned, waive to the fullest extent permitted by law, any objection that they jointly and severally, now or in the future have, to laying of jurisdiction or venue of any litigation, brought by EYB in Federal Court in United States District Court in the Newark vicinage of New Jersey or in a State Court by EYB, in Morris County, Union County or Essex County in New Jersey or if brought by any of the undersigned signatories in State Court, only in Morris County, New Jersey. Each of the undersigned waives any objection to jurisdiction or venue of such court or proceeding brought in such court or that such court is an inconvenient forum. Each of the undersigned further acknowledge that EYB may institute legal action against the
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, disputes related to the guaranty must be resolved through litigation in either the State Court of New Jersey or the Federal Court in the United States District Court, Newark vicinage of New Jersey. If Bananas Smoothies Frozen Yogurt initiates the litigation in the State Court of New Jersey, it can choose to do so in Morris County, Essex County, or Union County, New Jersey.
However, if any of the guarantors initiate litigation in the State Court, it must be instituted, maintained, and concluded only in Morris County, New Jersey. If the litigation is pursued in Federal Court, it must be in the United States District Court in the Newark vicinage of New Jersey.
The guarantors also waive any objections to the jurisdiction or venue of these courts, agreeing that these courts are convenient forums for resolving disputes. Furthermore, Bananas Smoothies Frozen Yogurt can institute legal action against the guarantors for injunctive relief, including temporary restraining orders and preliminary injunctions.