Does the Beverly Anns Cookie loan agreement include a waiver of the right to a jury trial?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
You acknowledge and agree that: (i) the terms of this Agreement are reasonable both in time and in scope of geographic area; and (ii) you have sufficient resources and business experience and opportunities to earn an adequate living while complying with the terms of this Agreement. YOU HEREBY WAIVE ANY RIGHT TO CHALLENGE THE TERMS OF THIS AGREEMENT AS BEING OVERLY BROAD, UNREASONABLE, OR OTHERWISE UNENFORCEABLE.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Beverly Anns Cookie Franchise Disclosure Document, Exhibit H-6 includes a sample Promissory Note from Eagle Financial Services, Inc. While this document outlines electronic signature agreements and consent to electronic delivery of communications, it does not explicitly state a waiver of the right to a jury trial.
However, Exhibit H-2 includes a sample Non-Compete Agreement that states, "YOU HEREBY WAIVE ANY RIGHT TO CHALLENGE THE TERMS OF THIS AGREEMENT AS BEING OVERLY BROAD, UNREASONABLE, OR OTHERWISE UNENFORCEABLE." This waiver applies specifically to challenging the terms of the non-compete agreement itself.
Prospective Beverly Anns Cookie franchisees should carefully review all agreements, especially those related to financing, with legal counsel to fully understand their rights and obligations. It is essential to determine whether any loan agreements or other contracts associated with the franchise contain clauses that waive the right to a jury trial or limit legal recourse in the event of a dispute.