What law governs the Beverly Anns Cookie Franchise Agreement, and what is the exception?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement/Additional Franchise Reservation Agreement | Summary | |||
|---|---|---|---|---|---|
| Franchise Agreement are permitted on renewal. | |||||
| (t) Integration/merger clause | Section 29.9 | Only the terms of the Franchise Agreement and other related written agreements are binding (subject to state, FTC, or federal law). Any representations or promises outside of this Franchise Disclosure Document and Franchise Agreement may not be enforceable. | |||
| (u) Dispute resolution by arbitration or mediation | Section 27/Not Applicable | Except for certain claims, all disputes must be mediated and arbitrated in the principal city closest to our principal place of business (currently Florence, Kentucky), subject to applicable state law. | |||
| (v) Choice of forum | Section 27.4/Section 9 | All disputes must be mediated, arbitrated, and if applicable, litigated in the principal city closest to our principal place of business (currently Florence, Kentucky), subject to applicable state law. | |||
| (w) Choice of law | Section 29.1/Section 9 | Kentucky law, except for The Kentucky Business Opportunity Investment Act applies, subject to applicable state law. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 49–54)
What This Means (2025 FDD)
According to Beverly Anns Cookie's 2025 Franchise Disclosure Document, the Franchise Agreement is generally governed by Kentucky law. Specifically, Section 29.1 of the agreement states that Kentucky law applies to the agreement. However, there is an exception: The Kentucky Business Opportunity Investment Act. This means that while most aspects of the agreement will be interpreted under Kentucky law, the Kentucky Business Opportunity Investment Act will take precedence where applicable.
For a prospective franchisee, this means that disputes or interpretations of the Franchise Agreement will generally be handled under Kentucky's legal framework. However, it's crucial to understand the specific provisions of The Kentucky Business Opportunity Investment Act, as those provisions will override general Kentucky law in certain situations. This act likely provides specific protections or regulations for franchisees operating within Kentucky.
It is important for potential Beverly Anns Cookie franchisees to consult with a legal professional familiar with both Kentucky law and The Kentucky Business Opportunity Investment Act to fully understand their rights and obligations under the Franchise Agreement. This will help ensure they are aware of any specific legal requirements or protections afforded to them as franchisees in Kentucky.