Does the Better Blend franchise agreement require the franchisee to consent to the jurisdiction of the courts where BBF's headquarters are located?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
In connection with the sale of the Jurisdiction franchise, any provision in the and Venue. Agreement restricting jurisdiction or venue to a forum outside of Ohio, or requiring the application 1334.01 to 1334.15 of the BOPA. of laws of another state, is void with respect to a claim otherwise enforceable under Sections
Notwithstanding any provision of the Agreement to the contrary, the New York Franchise Law shall govern any claim arising under that law.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2024 FDD)
According to the 2024 Better Blend Franchise Disclosure Document, the franchise agreement includes stipulations regarding jurisdiction and venue, particularly for franchisees in Ohio and New York. The Ohio Rider to the Franchise Agreement states that any provision restricting jurisdiction or venue to a forum outside of Ohio, or requiring the application of laws of another state, is void with respect to a claim otherwise enforceable under Sections 1334.01 to 1334.15 of the BOPA (Ohio Business Opportunity Act). This means that Ohio franchisees retain the right to pursue claims under Ohio law in Ohio, regardless of what the standard franchise agreement might say.
For New York franchisees, the New York Rider to the Franchise Agreement specifies that franchisees are not required to waive compliance by Better Blend with any provision of the New York Franchise Law, or any rule promulgated thereunder. It also states that the New York Franchise Law shall govern any claim arising under that law, notwithstanding any provision in the agreement to the contrary. This ensures that New York franchisees' rights under New York law are protected.
In summary, while the standard Better Blend franchise agreement might contain provisions about jurisdiction and venue, these are specifically overridden by the Ohio and New York Riders to protect the rights of franchisees in those states under their respective state laws. Prospective franchisees in states other than Ohio and New York should carefully review the franchise agreement and any state-specific addenda to understand which jurisdiction's laws will govern disputes and where legal proceedings must occur.