factual

What Illinois Administrative Code is referenced in relation to the Bang Cookies franchise agreement?

Bang_Cookies Franchise · 2024 FDD

Answer from 2024 FDD Document

In recognition of the requirements of the Illinois Franchise Disclosure Act, 815 ILCS 705/1 to 705/45, and Ill. Admin. Code tit. 15, §200.100 et seq., the undersigned agree to the following modifications to the Bang Cookies Franchise LLC Franchise Agreement (the "Franchise Agreement") and, if Franchisor and Franchisee both sign the Bang Cookies Franchise LLC Multi-Unit Development Agreement (the "Development Agreement"), as follows:

  1. Article 18.F. of the Franchise Agreement, and if Franchisee executes a Development Agreement, Article 7.5 of the Development Agreement, under the heading "Governing Law", shall be amended by the addition of the following statement added after the end of the last sentence of Article 18.F. of the Franchise Agreement and Article 7.5 of the Development Agreement:

Illinois Addendum: Illinois law governs the agreements between the parties to this franchise.

Section 4 of the Illinois Franchise Disclosure Act Provides that any provision in a Franchise Agreement that designates jurisdiction or venue outside the State of Illinois is void. However, a Franchise Agreement may provide for arbitration in a venue outside Illinois.

Your rights upon termination and non-renewal of a Franchise Agreement are set forth in Sections 19 and 20 of the Illinois Franchise Disclosure Act.

Section 41 of the Illinois Franchise Disclosure Act Provides that any condition, stipulation or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act, or any other law of Illinois is void

Source: Item 23 — RECEIPTS (FDD pages 56–245)

What This Means (2024 FDD)

According to the 2024 Bang Cookies Franchise Disclosure Document, the Illinois Franchise and Development Agreement Amendment references the Illinois Administrative Code tit. 15, §200.100 et seq. This code is relevant to the Bang Cookies Franchise Agreement due to the requirements of the Illinois Franchise Disclosure Act, 815 ILCS 705/1 to 705/45.

Specifically, the amendment modifies certain articles within the Bang Cookies Franchise Agreement and Multi-Unit Development Agreement to ensure compliance with Illinois law. For instance, it amends Article 18.F of the Franchise Agreement and Article 7.5 of the Development Agreement, both under the heading "Governing Law," to explicitly state that Illinois law governs the agreements between the parties. This is further emphasized by stating that any provision designating jurisdiction or venue outside Illinois is void, although arbitration outside Illinois is permitted.

Additionally, the amendment addresses franchisee rights upon termination and non-renewal, referencing Sections 19 and 20 of the Illinois Franchise Disclosure Act. It also highlights Section 41 of the Act, which invalidates any condition that would bind a franchisee to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law. These modifications ensure that Bang Cookies franchisees operating in Illinois are protected by and subject to Illinois law, as outlined in the referenced statutes and administrative codes.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.