Which state's laws govern the Bens Soft Pretzels Sublicense agreement?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
___________________ Printed Name: ______________________ Title: _____________________________ Title: _____________________________ Date: _____________________________ Date: _____________________________
NORTH DAKOTA ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT
Item 17, Additional Disclosures. The following statements are added to Item 17:
Pursuant to the North Dakota Franchise Investment Law, any provision requiring franchisees to consent to the jurisdiction of courts outside North Dakota or to consent to the application of laws of a state other than North Dakota is void. Any mediation or arbitration will be held at a site agreeable to all parties. The laws of the State of North Dakota will govern any dispute.
Any general release the franchisee is required to assent to is not intended to nor shall it act as a release, estoppel or waiver of any liability Ben's Soft Pretzels Franchising Corporation may have incurred under the North Dakota Franchise Investment Law.
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, the franchise agreement states that franchisees must consent to the jurisdiction of courts in the state of Indiana. However, this requirement does not apply to franchisees in North Dakota and is considered deleted from the agreement for them. For North Dakota franchisees, the laws of the State of North Dakota will govern any dispute.
Furthermore, the Minnesota Addendum to the Franchise Disclosure Document states that Minnesota Statutes prohibit Bens Soft Pretzels from requiring litigation to be conducted outside of Minnesota. Therefore, for franchisees in Minnesota, Minnesota law would govern.
In summary, the governing law for a Bens Soft Pretzels franchise agreement depends on the franchisee's location. While the standard agreement defaults to Indiana law, this is explicitly overridden for franchisees in North Dakota and Minnesota, who are protected by their respective state laws.