Is the choice of law specified in the Better Blend Franchise Agreement and Multi-Unit Development Agreement subject to applicable state law?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in franchise | Summary |
|---|---|---|
| w. Choice of law | FA: § 18.8 | Ohio (subject to applicable state law). Ohio (subject to applicable state law). |
| MUDA: § 7 | Ohio) (subject to applicable state law). Any |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 34–38)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, the choice of law specified in both the Franchise Agreement (FA) and the Multi-Unit Development Agreement (MUDA) is Ohio, but this is subject to applicable state law. This means that while the agreements themselves state that Ohio law governs their interpretation and enforcement, state laws where the franchisee operates may override this provision in certain circumstances.
For a prospective Better Blend franchisee, this is an important consideration. It means that the franchisee cannot assume that Ohio law will always apply, regardless of where their franchise is located. They need to be aware of the laws in their own state that might affect the enforceability of certain provisions in the Franchise Agreement or MUDA.
This is a fairly common practice in franchising. The application of state law ensures that franchisees are not subject to terms that are illegal or unenforceable in their state of operation. Franchisees should consult with an attorney in their state to understand how local laws might impact their franchise agreement with Better Blend.