Must proceedings to resolve disputes with Ben Jerrys be conducted on an individual basis?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
Any legal action brought by any party against the other in any forum or court, whether federal or state, shall be brought only within the judicial district in which BEN & JERRY'S has its principal place of business at the time the action or proceeding is initiated.
Any such action shall be brought in federal court if federal court jurisdiction exists and, if it does not exist, then in state court.
The parties agree that this Section 15 shall not be construed as preventing either party from removing an action from state to federal court.
The parties hereby waive all questions of personal jurisdiction or venue for the purpose of carrying out this provision.
Any proceeding to resolve a dispute shall be conducted on an individual basis, and not as part of a consolidated, common, representative, or class action.
Source: Item 23 — RECEIPTS (FDD pages 134–358)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, any proceeding to resolve a dispute must be conducted on an individual basis, and not as part of a consolidated, common, representative, or class action. This requirement applies to legal actions brought in any forum or court, whether federal or state.
This means that a Ben Jerrys franchisee cannot participate in a class action lawsuit against the franchisor. Each franchisee must pursue their claims independently. This could potentially increase the cost and complexity of resolving disputes for individual franchisees, as they would be responsible for their own legal fees and expenses.
This clause is relatively common in franchise agreements. It is designed to prevent franchisees from joining together to bring large, costly lawsuits against the franchisor. While it protects Ben Jerrys from large class action suits, it may put individual franchisees at a disadvantage if they have a dispute with the company.