Under what circumstances does the franchise registration, disclosure, relationship, or similar statute adopted by the state of New Jersey apply to the Bang Cookies franchise agreement?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
THIS AGREEMENT AND THE RELATIONSHIP BETWEEN THE PARTIES HERETO SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE
STATE OF New Jersey, EXCEPT THAT ITS CHOICE OF LAW AND CONFLICTS OF LAWS RULES SHALL NOT APPLY AND ANY FRANCHISE REGISTRATION, DISCLOSURE, RELATIONSHIP OR SIMILAR STATUTE WHICH MAY BE ADOPTED BY THE STATE OF New Jersey SHALL NOT APPLY UNLESS ITS JURISDICTIONAL REQUIREMENTS ARE MET INDEPENDENTLY WITHOUT REFERENCE TO THIS PARAGRAPH.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies' 2024 Franchise Disclosure Document, the franchise registration, disclosure, relationship, or similar statute adopted by the state of New Jersey will not apply unless its jurisdictional requirements are met independently without reference to the paragraph specifying New Jersey law.
This means that while the Bang Cookies franchise agreement is generally governed by New Jersey law, the specific franchise laws of New Jersey will only apply if the circumstances of the franchise sale and operation independently meet the legal requirements for New Jersey jurisdiction, regardless of what the franchise agreement states.
For a prospective Bang Cookies franchisee, this implies that the applicability of New Jersey franchise law depends on factors beyond just the franchise agreement itself. These factors could include where the franchise is sold, where the franchisee is located, and where the Bang Cookies outlet will operate. Franchisees should seek legal counsel to determine whether New Jersey franchise laws, or the laws of another state, will govern their franchise relationship.