Does the Belocal agreement specify that the waiver of jury trial encompasses all disputes?

According to Belocal's 2025 Franchise Disclosure Document, the franchise agreement includes a clause regarding the waiver of a jury trial. Specifically, the agreement states that both Belocal and the franchisee unconditionally and irrevocably waive any right to a jury trial in any action arising out of or related to the franchise agreement. The scope of this waiver is explicitly intended to cover any and all disputes that may be filed in any court. This means that any legal disputes between Belocal and the franchisee will be resolved by a judge rather than a jury.

This waiver of jury trial has significant implications for prospective Belocal franchisees. By agreeing to this provision, franchisees give up their right to have a jury decide the outcome of any legal disputes they may have with Belocal. Jury trials can be more unpredictable and potentially lead to higher damage awards, while bench trials (trials before a judge) are often perceived as more predictable and potentially less costly.

However, the FDD also includes addenda for franchisees in certain states like Minnesota. For Minnesota franchisees, the agreement is amended to delete all references to a waiver of jury trial, meaning that the standard waiver does not apply to them. This highlights the importance of reviewing any state-specific addenda to the franchise agreement, as these may modify or override certain provisions.

It is important for prospective Belocal franchisees to carefully consider the implications of waiving their right to a jury trial. They should consult with an attorney to fully understand the potential benefits and risks of this provision before signing the franchise agreement. Franchisees should also be aware of any state-specific laws or regulations that may affect the enforceability of this waiver.