Who has the right to investigate any claim against a Beyond Juicery Eatery franchise?
Beyond_Juicery_Eatery Franchise · 2025 FDDAnswer from 2025 FDD Document
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- In recognition of the requirements of the California Franchise Investment Law, Cal Corp Code §§31000-31516 and the California Franchise Relations Act, Cal Bus And Prof Code §§20000- 20043, the Franchise Agreement for BEYOND JUICERY + EATERY FRANCHISING, LLC is amended as follows:
- The California Franchise Relations Act provides you rights concerning termination or non-renewal of the Franchise Agreement, which may supersede provisions in the Franchise Agreement, specifically Sections 13 and 16.
- Section 15.01, which terminates the Franchise Agreement upon your bankruptcy, may not be enforceable under federal bankruptcy law (11 USC Section 101, et. seq).
- Section 16.05 contains a covenant not to compete that extends beyond the expiration or termination of the Agreement; this covenant may not be enforceable under California Law.
- The Franchise Agreement requires litigation to be conducted in a court located outside of the State of California. This provision might not be enforceable for any cause of Action arising under California law.
- The Franchise Agreement requires application of the laws of a state other than California. This provision might not be enforceable under California law.
- Section 23 requires binding arbitration. The arbitration will occur at the forum indic
Source: Item 23 — RECEIPTS (FDD pages 60–337)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, Item 23 includes addenda that address how certain state laws may affect the agreement. Specifically, the addenda for California, Maryland, and Indiana state that certain sections of the franchise agreement may not be enforceable under their respective state laws. These sections include those related to termination, non-renewal, covenants not to compete, and requirements to conduct litigation or arbitration outside of the state. These addenda ensure that franchisees in these states retain their rights under state franchise laws, which may allow them to bring claims within their own state, regardless of what the franchise agreement stipulates. The Washington addendum also addresses similar concerns regarding non-renewal and termination rights, general releases, and limitations on bringing suit in Washington.
For a prospective Beyond Juicery Eatery franchisee, this means that the enforceability of certain clauses within the franchise agreement can vary significantly depending on the state in which they operate. Franchisees should be aware of the specific protections afforded to them by their state's franchise laws, as these laws may override certain provisions of the franchise agreement. This is particularly relevant for issues such as termination, renewal, dispute resolution, and waivers of liability.
It is important for potential franchisees to consult with legal counsel to fully understand their rights and obligations under both the franchise agreement and the applicable state laws. This will help them navigate potential disputes and ensure they are not unfairly disadvantaged by clauses that may be unenforceable in their state. The presence of these addenda highlights the importance of state-specific legal advice when entering into a franchise agreement with Beyond Juicery Eatery.