In Rhode Island, does the Better Blend franchise agreement have any provisions restricting jurisdiction or venue to a forum outside of Rhode Island?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
In the State of Rhode Island only, this Disclosure Document is amended as follows:
Item 17, summary columns for (v) and (w) are amended to add the following:
Any provision in the franchise agreement restricting jurisdiction or venue to a forum outside Rhode Island or requiring the application of the laws of a state other than Rhode Island is void as to a claim otherwise enforceable under the Rhode Island Franchise Investment Act.
Source: Item 23 — RECEIPTS (FDD pages 43–157)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, if you are opening a franchise in Rhode Island, any provision in the franchise agreement that restricts jurisdiction or venue to a location outside of Rhode Island is void. This also applies to any requirement to apply laws from a state other than Rhode Island, specifically concerning claims enforceable under the Rhode Island Franchise Investment Act.
This addendum to Item 17 of the FDD provides significant protection for franchisees in Rhode Island. It ensures that any legal disputes related to the franchise can be resolved within the state, under Rhode Island law, rather than being forced to litigate in a potentially distant and unfamiliar jurisdiction. This can save franchisees considerable time and expense in legal proceedings.
This type of provision is not uncommon, as several states have franchise laws designed to protect franchisees within their jurisdiction. Prospective Better Blend franchisees should be aware of these state-specific addenda, as they can significantly impact their rights and obligations under the franchise agreement. Franchisees should consult with a legal professional to fully understand the implications of these state-specific provisions.