In the event of conflicting laws, which law prevails for a Beyond Juicery Eatery franchise?
Beyond_Juicery_Eatery Franchise · 2025 FDDAnswer from 2025 FDD Document
- B. Applicable Law. This Assignment shall be construed according to the laws of the state in which the premises are located. If any provision, or portion of a provision, of this Assignment is or shall become in conflict with any applicable law, then the applicable law shall govern and such provision or portion of a provision shall be automatically deleted and shall not be effective
to the extent that it is not in accordance with applicable law. However, the remaining terms and conditions of this Assignment shall remain in full force and effect.
Source: Item 23 — RECEIPTS (FDD pages 60–337)
What This Means (2025 FDD)
According to the 2025 Beyond Juicery Eatery Franchise Disclosure Document, the specific law that prevails in the event of a conflict depends on the location of the franchise and the agreement in question. For instance, the standard assignment agreement specifies that it "shall be construed according to the laws of the state in which the premises are located." Furthermore, if any part of the assignment agreement conflicts with applicable law, then that applicable law will take precedence, and the conflicting provision will be considered void to the extent that it violates the law. The remaining terms of the assignment, however, will stay in effect.
For franchisees in certain states like California, Washington, New York, Indiana, Hawaii and Illinois, the FDD includes specific addenda that address potential conflicts with state laws. These addenda generally state that if any term in the Franchise Agreement or Area Development Agreement is inconsistent with the respective state's franchise laws, then the state law will govern. This ensures that franchisees' rights under these state laws are protected. The addenda also often clarify specific sections of the franchise agreement that may not be enforceable under state or federal law, such as those related to termination upon bankruptcy, non-compete clauses, and venue for litigation or arbitration.
This means that prospective Beyond Juicery Eatery franchisees need to be aware of the specific laws in their state and how they interact with the franchise agreement. It is particularly important for franchisees in states with franchise-specific laws to understand their rights and protections under those laws. Consulting with legal counsel is advisable to fully understand the implications of these provisions and how they apply to their specific situation. The interplay between the franchise agreement and state and federal laws can be complex, so professional guidance is essential.