Which state's law applies to Bang Cookies franchises located in North Dakota?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
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- Article 18 of the Franchise Agreement is hereby amended by the addition of the following language: "for North Dakota Franchisees, North Dakota law shall apply."
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies' 2024 Franchise Disclosure Document, for Bang Cookies franchises operating in North Dakota, North Dakota law shall apply. This is according to the North Dakota FDD Amendment, which recognizes the North Dakota Franchise Investment Law, Section 51-19. The North Dakota Addendum is applicable if the franchisee is a resident of North Dakota or if their Bang Cookies shop will be located within the state of North Dakota.
Several provisions within the Bang Cookies Franchise Agreement are amended to comply with North Dakota law. These amendments address issues such as general releases upon renewal, consent to termination or liquidated damages, covenants not to compete, consent to jurisdiction of courts outside North Dakota, waiver of trial by jury, and waiver of exemplary and punitive damages. These amendments ensure that the rights of North Dakota franchisees are protected under North Dakota law.
Specifically, any provision in the Franchise Agreement requiring construction according to the laws of a state other than North Dakota is considered unfair, unjust, or inequitable under Section 51-19-09 of the North Dakota Franchise Investment Law. Additionally, any provision requiring a franchisee to waive their right to a jury trial is also deemed unfair, unjust, and inequitable. These amendments collectively reinforce that North Dakota law governs Bang Cookies franchises operating within North Dakota, safeguarding franchisees' rights and interests under the state's legal framework.