What is the statute of limitations for claims arising under the Maryland Franchise Registration and Disclosure Law related to the Ben Jerrys Preliminary Agreement, according to the Maryland Preliminary Agreement Amendment?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Section 17 of the Agreement shall be deleted in its entirety, and shall have no force or effect; and the following shall be substituted in lieu thereof:
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- Any and all claims and actions arising out of or relating to this Preliminary Agreement, the relationship of PROSPECTIVE OPERATOR and BEN & JERRY'S, or PROSPECTIVE OPERATOR's activities hereunder, brought by either party hereto against the other, whether in mediation or a legal action, shall be commenced within one (1) year from the occurrence of the facts giving rise to such claim or action, or such claim or action shall be barred; except that any and all claims arising under the Maryland Franchise Registration and Disclosure Law shall be commenced within three (3) years from the grant of the franchise.
Source: Item 22 — CONTRACTS (FDD pages 133–134)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, the Maryland Preliminary Agreement Amendment addresses the statute of limitations for claims arising under the Maryland Franchise Registration and Disclosure Law. Specifically, any and all claims and actions arising out of or relating to the Preliminary Agreement must be commenced within three years from the grant of the franchise. This amendment modifies Section 17 of the Preliminary Agreement, which originally stipulated a one-year limitation for claims, to align with the requirements of Maryland law for franchise-related claims.
This means that a prospective Ben Jerrys franchisee in Maryland has three years from the date the franchise is granted to bring a claim under the Maryland Franchise Registration and Disclosure Law. This extended period provides franchisees with additional time to discover and address potential violations of the law, offering greater protection compared to the standard one-year limitation for other types of claims related to the Preliminary Agreement.
It is important to note that this three-year statute of limitations applies specifically to claims arising under the Maryland Franchise Registration and Disclosure Law. Other claims related to the Preliminary Agreement, outside of this specific law, are subject to a one-year statute of limitations. This distinction ensures that Ben Jerrys franchisees in Maryland have the full protection afforded by state franchise laws, while also maintaining a reasonable timeframe for resolving other disputes.