Does the Ben Jerrys agreement allow either party to remove an action from state to federal court?

According to Ben Jerrys's 2025 Franchise Disclosure Document, both parties retain the right to remove a case from state court to federal court. The agreement specifies that any legal action, whether in federal or state court, must be initiated in the judicial district where Ben Jerrys has its primary business location. The suit must be filed in federal court if federal jurisdiction exists; otherwise, it will be filed in state court. However, this requirement does not prevent either party from transferring the case from state to federal court if they so choose.

This clause ensures that franchisees are aware of the venue and jurisdiction stipulations from the outset. It clarifies that while initial filing might depend on the presence of federal jurisdiction, either party can still seek to have the case heard in federal court by exercising their right to remove it from state court. This is a common provision in franchise agreements, allowing for potential consolidation of cases or leveraging the perceived expertise of federal courts in certain matters.

By agreeing to this clause, a Ben Jerrys franchisee acknowledges their understanding of these jurisdictional rules and waives any objections to personal jurisdiction or venue. This waiver streamlines the legal process, preventing disputes over where a case should be heard and allowing the focus to remain on the substantive issues of the dispute. This can be beneficial for both Ben Jerrys and the franchisee by reducing legal costs and time spent on procedural matters.