In the Belocal Franchise Agreement, what state replaces Texas in Section 14.A?

According to the 2025 Belocal Franchise Disclosure Document, for franchisees in North Dakota, Section 14.A of the Franchise Agreement is amended. Specifically, the term "Texas" is replaced with "North Dakota." This change affects the governing law and dispute resolution provisions within the franchise agreement for franchisees operating in North Dakota.

This amendment means that for Belocal franchisees in North Dakota, any legal disputes or interpretations of the franchise agreement will be subject to North Dakota law rather than Texas law. Additionally, the location for mediation or arbitration may be affected, potentially taking place in Fargo, North Dakota, if the parties cannot agree on an alternative location. This could result in cost savings for North Dakota franchisees due to reduced travel expenses and familiarity with local laws.

It is important for prospective Belocal franchisees in all states to carefully review any state-specific amendments to the franchise agreement, as these changes can significantly impact their rights and obligations. Franchisees should consult with a legal professional to fully understand the implications of these amendments in their specific state.