What is the process for dispute resolution between Beem Light Sauna and a franchisee, and what governing law applies?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
rt of Franchisor in the exercise of any right or remedy will operate as a waiver thereof, and no single or partial exercise by Franchisor of any right or remedy will preclude other further exercise of such right or any other right or remedy.
- 4. Other Covenants. Each of the Guarantors agrees to comply with the provisions of Sections 8 (Records, Reports, Audits, and Inspections), 9 (Intellectual Property), 10 (Proprietary Information), 11 (Indemnification), and 12 (Noncompete Covenants) of the Franchise Agreement as though each such Guarantor were the "Franchisee" named in the Franchise
Agreement and agrees that the undersigned will take any and all actions as may be necessary or appropriate to cause Franchisee to comply with the Franchise Agreement and will not take any action that would cause Franchisee to be in breach of the Franchise Agreement.
- 5. Dispute Resolution. Section 16 (Dispute Resolution and Governing Law) of the Franchise Agreement is hereby incorporated herein by reference and will be applicable to any all disputes between Franchisor and any of the Guarantors, as though Guarantor were the "Franchisee" referred to in the Franchise Agreement.
- 6. Miscellaneous. This Agreement will be binding upon the Guarantors and their respective heirs, executors, successors, and assigns, and will inure to the benefit of Franchisor and its successors and assigns.
IN WITNESS WHEREOF, the undersigned Guarantors have caused this Guarantee to be duly executed as of the day and year first above written.
| Print Name: |
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APPENDIX D TO THE FRANCHISE AGREEMENT
LEASE RIDER
| and | ("Franchisee"), | and |
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| between | ||
| Beem | ||
| Franchisor | ||
| LLC | ||
| ("Company"), | ||
| ("Landlord"). |
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna Franchise Disclosure Document, Section 16 of the Franchise Agreement, which covers dispute resolution and governing law, is incorporated by reference into the agreement with any guarantors. This means that the dispute resolution process outlined in the Franchise Agreement also applies to disputes between Beem Light Sauna and any guarantors of the franchisee's obligations.
For franchisees in Maryland, the FDD specifies that Maryland law will govern claims arising under the Maryland Franchise Registration and Disclosure Law, despite any other provisions in the agreement. Additionally, franchisees in Maryland retain the right to bring a lawsuit in Maryland for claims arising under that law, subject to arbitration obligations. The three-year statute of limitations afforded to franchisees in Maryland for bringing a claim under the Maryland Franchise Registration and Disclosure Law cannot be reduced by any limitation of claims provision in the agreement.
These stipulations ensure that franchisees, particularly those in Maryland, have specific legal protections and rights regarding dispute resolution and the governing law applicable to their franchise agreement with Beem Light Sauna. Prospective franchisees should carefully review Section 16 of the Franchise Agreement and any state-specific riders to fully understand their rights and obligations in the event of a dispute.