Does a Beem Light Sauna franchisee consent to the jurisdiction of the specified courts for excepted disputes?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
- CONSENT TO JURISDICTION. The following is added to the end of Section 16.3(d) ("Excepted Disputes") of the Franchise Agreement:
However, subject to your arbitration obligations, nothing in this Section affects your right under the Maryland Franchise Registration and Disclosure Law to bring a lawsuit in Maryland for claims arising under that law.
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna Franchise Disclosure Document, the franchisee's consent to jurisdiction for excepted disputes depends on the state where the franchise is located. For franchisees in Maryland, the standard consent to jurisdiction is modified. While franchisees are generally subject to arbitration obligations, the rider clarifies that nothing affects the franchisee's right to bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law, to the extent required by applicable law.
For franchisees in Minnesota, the FDD states that Minnesota law prohibits Beem Light Sauna from requiring litigation to be conducted outside of Minnesota, except in certain specified cases. The agreement does not reduce any of the franchisee's rights under Minnesota Statutes Chapter 80.C, including rights to any procedure, forum, or remedies provided by Minnesota law.
These stipulations ensure that Beem Light Sauna franchisees are not forced to litigate claims under their state's franchise laws outside of their home state. This protects their rights and access to local legal remedies, which is a significant benefit. Prospective franchisees should carefully review the rider applicable to their state and consult with legal counsel to fully understand their rights and obligations.